A.R.S. § 38-885.01 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 885.01
38-885.01 Reverse deferred retirement option plan; purpose
Status: in_force

38-885.01. Reverse deferred retirement option plan; purpose

A. A reverse deferred retirement option plan is established. The purpose of the reverse deferred retirement option plan is to add flexibility to the plan and to provide members who elect to participate in the reverse deferred retirement option plan access to a lump sum benefit in addition to their normal monthly retirement benefit on actual retirement.

B. The board shall offer the reverse deferred retirement option plan to members on a voluntary basis as an alternative method of benefit accrual under the plan.

C. Any member who is eligible for a normal pension pursuant to section 38-885, who is not awarded an accidental, ordinary or total and permanent disability pension and who has at least twenty-four years of credited service, or in the case of a dispatcher, who has at least twenty-five years of credited service, is eligible to participate in the reverse deferred retirement option plan.

D. A member who elects to participate in the reverse deferred retirement option plan shall voluntarily and irrevocably:

1. Designate a reverse deferred retirement option plan date that is the first day of the calendar month immediately following a member's completion of twenty-four years of credited service or a date not more than sixty consecutive months before the date the member elects to participate in the reverse deferred retirement option plan, whichever is later.

2. Agree to terminate employment on the date the member elects to participate in the reverse deferred retirement option plan.

3. Receive benefits from the plan on termination of employment at the same time and in the same manner as otherwise prescribed in this article using the factors of credited service and average monthly salary in effect on the reverse deferred retirement option plan date.

E. On election, a reverse deferred retirement option plan participation account is established within the plan on behalf of each reverse deferred retirement option plan participant.  All benefits accrued pursuant to this article shall be accounted for in the reverse deferred retirement option plan participation account. A reverse deferred retirement option plan participant does not have a claim on the assets of the plan with respect to the member's reverse deferred retirement option plan participation account and assets shall not be set aside for any reverse deferred retirement option plan participant that are separate from all other system assets.

F. All amounts credited to a member's reverse deferred retirement option plan participation account are fully vested.

G. A member's reverse deferred retirement option plan participation account shall be credited with the following:

1. An amount that is credited as though accrued monthly from the reverse deferred retirement option plan date to the date the member elected to participate in the reverse deferred retirement option plan and that is computed in the same manner as a normal retirement benefit using the factors of credited service and average monthly salary in effect on the reverse deferred retirement option plan date.

2. An amount that is credited as though accrued monthly and that represents interest at a rate equal to the yield on a five year treasury note as of the first day of the month as published by the federal reserve board.

H. Employee and employer contributions pursuant to section 38-891 that are deposited during the period of the reverse deferred retirement option plan are not eligible to be refunded to the employer or member.

I. The participant is not entitled to receive any amount prescribed by section 38-906 during the reverse deferred retirement option plan participation period.

J. The form of payment shall be a lump sum distribution that is directly deposited in an account created for the member in the public safety personnel defined contribution retirement plan established pursuant to article 4.1 of this chapter. On deposit of the lump sum payment, the member shall immediately be able to either withdraw all or any portion of the lump sum deposit or directly transfer all or any portion of the lump sum deposit to an eligible retirement plan as required by section 401(a)(31) of the internal revenue code.

K. The reverse deferred retirement option plan shall not jeopardize in any way the tax qualified status of the plan under the rules of the internal revenue service. The board may adopt additional provisions to the extent necessary or appropriate for the reverse deferred retirement option plan to comply with applicable federal laws or rules.
A.R.S. § 38-868 — Arizona Code / Title 38 / Chapter 5 / Article 4.1 / Section 868
38-868 Contributions; member; employer; applicability of article
Status: in_force

38-868. Contributions; member; employer; applicability of article

A. On or before June 30, 2017, a participant as defined in section 38-865.01 may make an irrevocable election to opt out of the defined contribution plan established by this article, which shall be the participant's election for the remainder of the participant's employment with any employer under the system.

B. Beginning July 1, 2017, a participant as defined in section 38-865.01 in the defined contribution plan shall contribute three percent of the participant's gross pensionable compensation by salary reduction that shall be deposited in the participant's annuity account.

C. Each employer of a participant as defined in section 38-865.01 shall annually make a contribution equal to the following percentages of the participant's gross pensionable compensation:

1. For a participant that is hired in 2012, for fiscal years 2017-2018 through 2023-2024, four percent and three percent for each fiscal year thereafter.

2. For a participant that is hired in 2013, for fiscal years 2017-2018 through 2022-2023, four percent and three percent for each fiscal year thereafter.

3. For a participant that is hired in 2014, for fiscal years 2017-2018 through 2021-2022, four percent and three percent for each fiscal year thereafter.

4. For a participant that is hired in 2015, for fiscal years 2017-2018 through 2020-2021, four percent and three percent for each fiscal year thereafter.

5. For a participant that is hired in 2016, for fiscal years 2017-2018 through 2019-2020, four percent and three percent for each fiscal year thereafter.

6. For a participant that is hired on or after January 1, 2017 and before July 1, 2017, for fiscal year 2017-2018, four percent and three percent for each fiscal year thereafter.

D. If a participant as defined in section 38-865.01 is subsequently covered by the federal old age and survivors insurance system, the participant and the participant's employer may not make any contributions on the participant's behalf pursuant to this section during the period the participant is covered by the federal old age and survivors insurance system. If at a later time the participant is not covered by the federal old age and survivors insurance system through an employer under the system, the participant and the participant's employer shall again be required to contribute on behalf of the employee pursuant to this section.

E. All of the provisions of this article apply to a participant as defined in section 38-865.01.

F. For a participant as defined in section 38-865.01, an employer may choose to pay a portion of the participant's contributions under this section in an amount of not more than the difference between the contribution rate specified under section 38-843 for employees hired on or after January 1, 2012 and before July 1, 2017 and for any employee hired before January 1, 2012.
A.R.S. § 38-1114 — Arizona Code / Title 38 / Chapter 8 / Article 1 / Section 1114
38-1114 Health insurance payments for spouse or dependents of law enforcement officer killed in the line of duty; applicability; definitions
Status: in_force

38-1114. Health insurance payments for spouse or dependents of law enforcement officer killed in the line of duty; applicability; definitions

A. Notwithstanding any other law, the surviving spouse or a surviving dependent of a deceased law enforcement officer is entitled to receive payments for health insurance premiums from public monies of the employer of the law enforcement officer if the law enforcement officer was killed in the line of duty or died from injuries suffered in the line of duty.

B. The employer shall make payments if the surviving spouse or surviving dependent is enrolled or was enrolled at the time the law enforcement officer was killed in the line of duty or died from injuries suffered in the line of duty in either:

1. The health insurance program of the employer.

2. The health insurance program that is offered by the state retirement system or plan from which the surviving spouse or surviving dependent is receiving benefits.

C. If a surviving spouse or surviving dependent was enrolled in either health insurance program described in subsection B of this section at the time the law enforcement officer was killed in the line of duty or died from injuries suffered in the line of duty and is eligible pursuant to subsection D of this section to receive health insurance premium payments under this section but is no longer enrolled in either health insurance program described in subsection B of this section, the employer shall allow the surviving spouse and any surviving dependent to enroll in the employer's health insurance program to receive health insurance premium payments pursuant to this section.

D. The health insurance premium amount payable by the employer of the deceased law enforcement officer is the amount the employer of the deceased law enforcement officer would pay for an active law enforcement officer for a family coverage premium or single coverage premium, whichever is applicable. Payments shall be discontinued pursuant to this section if:

1. The surviving spouse remarries.

2. The surviving spouse becomes medicare eligible.

3. The surviving spouse dies.

4. For dependent coverage, the person is no longer considered a dependent.

E. If the employer currently pays a greater portion of the health insurance premium for a surviving spouse or a surviving dependent than the required amount prescribed in subsection D of this section, the surviving spouse or surviving dependent shall receive the greater amount as payment toward the surviving spouse's or surviving dependent's health insurance premium.

F. This section applies:

1. To a surviving spouse or a surviving dependent of a deceased law enforcement officer, as defined in subsection G, paragraph 2, subdivision (a), (b) or (c) of this section, who was killed in the line of duty or who died from injuries suffered in the line of duty on or after April 5, 1933.

2. To a surviving spouse or a surviving dependent of a deceased law enforcement officer, as defined in subsection G, paragraph 2, subdivision  (d) of this section, who was killed in the line of duty or who died from injuries suffered in the line of duty on or after April 5, 2013.

3. For the surviving spouse or the surviving dependent who qualifies pursuant to paragraph 1 of this subsection, only to health insurance premiums paid on or after September 13, 2013.

G. For the purposes of this section:

1. "Dependent" means an unmarried child of a deceased law enforcement officer who meets one of the following qualifications:

(a) Is under eighteen years of age.

(b) Is at least eighteen years of age and under twenty-three years of age only during any period that the child is a full-time student.

(c) Is under a disability that began before the child attained twenty-three years of age and remains a dependent of the surviving spouse or a guardian.

2. "Law enforcement officer" means:

(a) A peace officer who is certified by the Arizona peace officer standards and training board.

(b) A detention officer or corrections officer who, other than a juvenile detention officer, is employed by this state or a political subdivision of this state.

(c) A firefighter who is employed by this state or a political subdivision of this state.

(d) A corrections officer or firefighter who works on behalf of this state or a political subdivision of this state through a contract with a private company.
A.R.S. § 38-804.01 — Arizona Code / Title 38 / Chapter 5 / Article 3 / Section 804.01
38-804.01 Reinstatement of credited service; effect of prior law
Status: in_force

38-804.01. Reinstatement of credited service; effect of prior law

An elected official who received a refund as provided in section 38-804, who is subsequently reemployed as an elected official and who may have redeposited the amount withdrawn with interest as provided in section 38-804 or an elected official who redeems prior service pursuant to statute is subject to the benefits and duties in effect at the time of the elected official's most recent reemployment.  This section does not apply if a court of competent jurisdiction orders reinstatement of benefits and duties under a prior law.
A.R.S. § 38-820 — Arizona Code / Title 38 / Chapter 5 / Article 3 / Section 820
38-820 Credit for military service
Status: in_force

38-820. Credit for military service

A. Except as provided in subsection B of this section, a member of the plan who has at least five years of credited service with the plan may receive credited service for periods of active military service performed before employment with the member's current employer if:

1. The member was honorably separated from the military service.

2. The period of military service for which the member receives credited service does not exceed sixty months.

3. The period of military service for which the member receives credited service is not on account with any other retirement system, except as provided by 10 United States Code section 12736 or except if the member is not yet eligible for a military retirement benefit.

4. The member pays the cost to purchase the prior active military service. The cost is the amount necessary to equal the increase in the actuarial present value of projected benefits resulting from the additional credited service.

5. The amount of benefits purchased pursuant to this subsection is subject to limits established by section 415 of the internal revenue code.

B. An elected official who became a member of the plan before January 1, 2012 may receive credited service for eligible prior active military service as specified in subsection A of this section without having to have accrued any minimum amount of credited service with the plan.

C. An active member of the plan who volunteers or is ordered to perform military service may receive credited service for not more than sixty months of military service as provided by the uniformed services employment and reemployment rights act of 1994 (38 United States Code part III, chapter 43).  The member's employer shall make employer contributions and the member shall make the member contributions pursuant to subsection D of this section if the member meets the following requirements:

1. Was an active member of the plan on the day before the member began military service.

2. Entered into and served in the armed forces of the United States or any military reserve unit of any branch of the armed forces of the United States or is a member of the national guard.

3. Complies with the notice and return to work provisions of 38 United States Code section 4312.

D. Contributions made pursuant to subsection C of this section shall be for the period of time beginning on the date the member began military service and ending on the later of one of the following dates:

1. The date the member is separated from military service.

2. The date the member is released from service-related hospitalization or two years after initiation of service-related hospitalization, whichever date is earlier.

3. The date the member dies as a result of or during military service.

E. Notwithstanding any other law, on payment of the contributions made pursuant to subsection C of this section, the member shall be credited with service for retirement purposes for the period of military service of not more than sixty months. The member shall submit a copy of the military discharge certificate (DD-256A) and a copy of the military service record (DD-214) or its equivalent with the member's application when applying for credited service corresponding to the period of military service.

F. The employer and the member shall make contributions pursuant to subsection C of this section as follows:

1. Contributions shall be based on the compensation that the member would have received but for the period that the member was ordered into active military service.

2. If the employer cannot reasonably determine the member's rate of compensation for the period that the member was ordered into military service, contributions shall be based on the member's average rate of compensation during the twelve-month period immediately preceding the period of military service.

3. If a member has been employed less than twelve months before being ordered into military service, contributions shall be based on the member's compensation being earned immediately preceding the period of military service.

4. The member has up to three times the length of military service, not to exceed sixty months, to make the member contributions. Once the member has made the member contributions or on receipt of the member's death certificate, the employer shall make the employer contributions in a lump sum.  Death benefits shall be calculated as prescribed by law.

5. If the member's employer pays military differential wage pay to members serving in the military, contributions shall be paid to the plan pursuant to section 38-810 for any military differential wage pay paid to the member while performing military service.

G. In computing the length of total credited service of a member for the purpose of determining retirement benefits or eligibility, the period of military service, as prescribed by this section, shall be included.

H. If a member performs military service due to a presidential call-up, not to exceed forty-eight months, the employer shall make the employer and member contributions computed pursuant to subsection F of this section on the member's return and in compliance with subsection C of this section.

I. In addition to, but not in duplication of, subsection C of this section, beginning December 12, 1994 contributions, benefits and credited service provided pursuant to this section shall be provided pursuant to section 414(u) of the internal revenue code, and this section shall be interpreted in a manner consistent with that internal revenue code section.

J. For plan years beginning after December 31, 2008, a member who does not currently perform services for an employer by reason of qualified military service as defined in section 414(u)(5) of the internal revenue code is not considered having a severance from employment during that qualified military service. Any payments by the employer to the member during the qualified military service shall be considered compensation to the extent those payments do not exceed the amounts the member would have received if the member had continued to perform services for the employer rather than entering qualified military service.

K. For deaths occurring from and after December 31, 2006, in the case of a member who dies while performing qualified military service as defined in section 414(u)(5) of the internal revenue code, the survivors of the member are entitled to any benefits, other than benefit accruals relating to the period of qualified military service, provided under the plan as though the member resumed and then terminated employment on account of death.
A.R.S. § 38-863.02 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 863.02
38-863.02 Pension funding policies; board; employers' pension funding policies; posting; popular annual financial report
Status: in_force

38-863.02. Pension funding policies; board; employers' pension funding policies; posting; popular annual financial report

A. The board shall annually review and adopt a pension funding policy for each defined benefit retirement plan and system administered by the board that analyzes and reviews the methods to ensure systematic funding of all retirement benefit payments for the members of each defined benefit retirement plan and system and that outlines the strategy to achieve financial solvency of each plan and system.

B. The board shall annually consolidate the pension funding policies of employers adopted pursuant to section 38-863.01 and post the document on the system's public website.

C. On or before June 30 of each year, the board shall submit a popular annual financial report to the governor, the president of the senate and the speaker of the house of representatives and post to the system's public website that includes the following:

1. For each retirement system and plan that is administered by the board:

(a) Funding status.

(b) Aggregate contribution rates.

(c) Demographic updates.

2. For the aggregate of the systems and plans administered by the board:

(a) Investment returns.

(b) An analysis of the system's aggregate experience over the previous year.

(c) Major policy and governance changes.

(d) Future trends and objectives.
A.R.S. § 38-923 — Arizona Code / Title 38 / Chapter 5 / Article 7 / Section 923
38-923 Transfer of service credits between municipal retirement systems and special retirement plans; definitions
Status: in_force

38-923. Transfer of service credits between municipal retirement systems and special retirement plans; definitions

A. An active or inactive member of a retirement system or plan of a municipality of this state or the public safety personnel retirement system who becomes a member of one or the other of these retirement systems or plans may transfer service credits from the member's prior retirement system or plan to the member's current retirement system or plan pursuant to section 38-924 if all of the following conditions are met:

1. The board governing the retirement system or plan from which the service credits are being transferred and the board governing the retirement system or plan to which the service credits are being transferred approve the terms of the transfer.

2. The transfer does not cause either the retirement system or plan to which the transfer is made or the retirement system or plan from which the transfer is made to incur any unfunded accrued liabilities as a result of the transfer.

3. The member initiates the transfer by making written application to the governing board of the retirement system or plan to which the member is contributing.

B. An active or inactive member of a retirement system or plan of a municipality of this state or the corrections officer retirement plan who becomes a member of one or the other of these retirement systems or plans may transfer service credits from the member's prior retirement system or plan to the member's current retirement system or plan pursuant to section 38-924 if all of the following conditions are met:

1. The board governing the retirement system or plan from which the service credits are being transferred and the board governing the retirement system or plan to which the service credits are being transferred approve the terms of the transfer.

2. The transfer does not cause either the retirement system or plan to which the transfer is made or the retirement system or plan from which the transfer is made to incur any unfunded accrued liabilities as a result of the transfer.

3. The member initiates the transfer by making written application to the governing board of the retirement system or plan to which the member is contributing.

C. An active or inactive member of a retirement system or plan of a municipality of this state or of the elected officials' retirement plan who becomes a member of one or the other of these retirement systems or plans may transfer service credits from the member's prior retirement system or plan to the member's current retirement system or plan pursuant to section 38-924 if all of the following conditions are met:

1. The board governing the retirement system or plan from which the service credits are being transferred and the board governing the retirement system or plan to which the service credits are being transferred approve the terms of the transfer.

2. The transfer does not cause either the retirement system or plan to which the transfer is made or the retirement system or plan from which the transfer is made to incur any unfunded accrued liabilities as a result of the transfer.

3. The member initiates the transfer by making written application to the governing board of the retirement system or plan to which the member is contributing.

D. For the purposes of this section:

1. "Active member" means a member who satisfies the eligibility criteria of the retirement system or plan and who is currently making member contributions to or receiving credited service from the retirement system or plan.

2. "Inactive member" means a member of the retirement system or plan who previously made contributions to the retirement system or plan and who satisfies each of the following:

(a) Has not retired.

(b) Is not eligible for active membership in the retirement system or plan.

(c) Is not currently making contributions to the retirement system or plan.

(d) Has not withdrawn contributions from the retirement system or plan.

3. "Municipality" means a city in this state with a population of more than five hundred thousand persons.
A.R.S. § 38-931 — Arizona Code / Title 38 / Chapter 5 / Article 7.1 / Section 931
38-931 Definitions
Status: in_force

38-931. Definitions

In this article, unless the context otherwise requires:

1. "Administering and investing":

(a) Means administering, managing, operating, investing and distributing the prefunding plan and its assets, including accepting, depositing, holding, investing, reinvesting and transferring the assets of the prefunding plan.

(b) Includes employing legal services.

2. "Board" means the board of trustees of the system.

3. "Defined benefit pension" means the elected officials' retirement plan established by article 3 of this chapter, the public safety personnel retirement system established by article 4 of this chapter and the corrections officer retirement plan established by article 6 of this chapter.

4. "Employer" means an employer as defined in section 38-801, 38-842 or 38-881.

5. "Participating employer" means an employer that is authorized and has elected to participate in the prefunding plan and whose governing body has entered into a contract with the board as provided in this article.

6. "Prefunding plan" means the Arizona employers' pension prefunding plan established by this article.

7. "Required pension contributions" means an employer's unfunded liability and future required contributions under the applicable defined benefit pension, whether pertaining to a single year or multiple years.

8. "System" means the public safety personnel retirement system.

9. "Tax-exempt status of the prefunding plan's income" means that the prefunding plan's income is excluded from gross income for the purposes of the assessment of federal income tax under section 115 of the internal revenue code, intergovernmental immunity or similar grounds.

10. "Trustee" has the same meaning prescribed in section 38-848.04.
A.R.S. § 38-845.01 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 845.01
38-845.01 Maximum annual pension; limitations; definition
Status: in_force

38-845.01. Maximum annual pension; limitations; definition

A. The maximum annual pension for a limitation year shall not exceed the following:

1. For limitation years beginning before 1995, the lesser of ninety thousand dollars, as indexed for inflation, or one hundred per cent of the member's average monthly benefit compensation.

2. For limitation years beginning in 1995 and ending before 2002, ninety thousand dollars, as indexed for inflation.

3. For limitation years ending in and after 2002, one hundred sixty thousand dollars, as indexed for inflation.

B. The limitations prescribed in subsection A shall be determined under section 415 of the internal revenue code and the regulations that are then in effect under that section.

C. Notwithstanding this section, the pension payable under this system may be reduced to the extent necessary, as determined by the system, to prevent disqualification of the system under section 415 of the internal revenue code, which imposes additional limitations on the pension payable to members who also may be participating in another tax qualified pension plan or other plan of this state.  The system shall advise affected members of any additional limitation of their pension required by this section.

D. For the purposes of this section, "limitation year" means the system's fiscal year.
A.R.S. § 38-913 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 913
38-913 Discount rate; service purchase; transfer of service credits
Status: in_force

38-913. Discount rate; service purchase; transfer of service credits

A. Beginning July 1, 2017, the discount rate specified in subsection B of this section applies to service purchases or transfers of service credits to the plan pursuant to the following sections:

1. Section 38-907, subsection A or B.

2. Section 38-909, subsection C.

3. Sections 38-921, 38-922, 38-923 and 38-924.

B. For members enrolled in the system:

1. Before July 1, 2017, the discount rate is the assumed rate of return that is prescribed by the board.

2. On or after July 1, 2017, the discount rate is an amount equal to the lesser of the assumed rate of return that is prescribed by the board or an amount equal to the yield on a ten-year treasury note as of March 1 that is published by the federal reserve board plus two percent. The discount rate is effective beginning in the next fiscal year, and the board shall recalculate the rate each year.
A.R.S. § 38-751 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 751
38-751 Nonparticipatory employer liability allocation; exemption; definitions
Status: in_force

38-751. Nonparticipatory employer liability allocation; exemption; definitions

A. ASRS shall establish a separate fund for an employer, other than a charter school, that is no longer participating in ASRS as a result of any of the following:

1. The character of the employer changes from a public entity to a private entity.

2. An employer, other than this state, dissolves.

3. Through legislative action, the employer is no longer enrolling new employees in ASRS or no longer contributing to ASRS on behalf of current employees or groups of employees who otherwise would be eligible for ASRS membership.

B. For a nonparticipating employer described in subsection A of this section, ASRS shall allocate an actuarial accrued liability and a designated asset amount to the nonparticipating employer's separate fund as of the nonparticipation date, which shall be calculated as follows:

1. The actuarial accrued liability shall equal the sum of the plan employer actuarial accrued liability and the LTD program employer actuarial accrued liability. Actuarial accrued liability shall be calculated based on the same actuarial assumptions and methods as the actuarial valuation performed immediately preceding the nonparticipating employer's nonparticipation date.

2. The designated asset amount shall equal the sum of the following:

(a) The plan employer actuarial accrued liability multiplied by the plan funded percentage.

(b) The LTD program employer actuarial accrued liability multiplied by the LTD program funded percentage.

C. All monies and securities transferred to the nonparticipating employer's separate fund shall be credited to that fund.  A record of the market value and the cost value of such transferred contributions shall be maintained for actuarial and investment purposes.  ASRS shall make all decisions regarding the nonparticipating employer's separate fund.

D. After establishing the nonparticipating employer's separate fund, the fund shall be adjusted for all of the following:

1. All contributions made by employees of the nonparticipating employer.

2. All contributions made by the nonparticipating employer.

3. All plan, all LTD program and any other benefits paid to the nonparticipating employer's members who are active, inactive, retired or on long-term disability.

4. All plan, all LTD program and any other benefits paid to the survivors of the nonparticipating employer's members.

5. The applicable share of the investment gains and losses.

6. Expenses associated with the administration of the nonparticipating employer's separate fund, including any administrative, development, actuarial, legal, custodial and investment management costs associated with the fund.  These expenses shall be paid directly by the nonparticipating employer or included in the employer's liability for the purposes of determining the employer's contribution rate.

E. After establishing the nonparticipating employer's separate fund, the nonparticipating employer and any employees of that employer who are enrolled in ASRS shall continue to have contribution requirements to the nonparticipating employer's separate fund. The contribution requirements shall be calculated as follows:

1. All employees of the nonparticipating employer who are enrolled in ASRS shall continue to make contributions through payroll deductions based on the contribution rate determined for the employees of participating employers of ASRS pursuant to section 38-736.

2. The nonparticipating employer shall continue to make contributions through lump sum payments in accordance with section 38-735, equal to the sum of:

(a) Contributions owed through payroll deductions based on the contribution rate determined for participating employers pursuant to section 38-737.

(b) The amount required to amortize the past service funding requirement in the nonparticipating employer's separate fund over a period that is determined by the board and that is consistent with generally accepted actuarial standards. In determining the past service funding period, the board shall seek to improve the funded status whenever the nonparticipating employer's separate fund is less than one hundred percent funded.

F. The ASRS actuary shall determine the actuarial assumptions used to determine the contribution requirements for the nonparticipating employer under subsection E of this section. Notwithstanding section 38-737, the contribution for the nonparticipating employer may not be determined as a percentage of compensation due to the anticipated decline of compensation for employees of the nonparticipating employer participating in ASRS. The nonparticipating employer shall certify on each payroll the amount to be contributed and shall remit that amount to ASRS at a rate that is consistent with the rate paid by the participating employers. Each fiscal year, amounts that are not remitted through payroll contributions pursuant to this section shall be invoiced to the employer and shall be paid within the same fiscal year the nonparticipating employer is invoiced.

G. This section does not permit an employer to alter the irrevocable agreement approved by the board under section 38-729.

H. For the purposes of calculating an employer's liability under this section, members who are active, inactive, retired or on long-term disability are considered employees of the nonparticipating employer if the member's most recent employer was the nonparticipating employer as of the nonparticipation date.

I. This section does not apply to an employer whose existence was terminated by legislative action or otherwise became a nonparticipating employer as described in subsection A of this section on or before January 1, 2013.

J. For the purposes of this section:

1. "LTD program" means the program established by article 2.1 of this chapter.

2. "LTD program employer actuarial accrued liability" means the actuarial accrued liability for the employer's active and inactive members and the open LTD program claims for the employees of the employer as of the nonparticipation date.

3. "LTD program funded percentage" means the total market value of LTD program assets divided by the total LTD program actuarial accrued liabilities, as of the actuarial valuation performed immediately preceding the nonparticipation date. If the percentage is greater than one hundred percent, the LTD program funded percentage is one hundred percent.

4. "Nonparticipation date" means the date on which the employer is no longer participating in ASRS.

5. "Plan" means the retirement plan established by this article.

6. "Plan employer actuarial accrued liability" means the plan's actuarial accrued liability for all benefits provided under this article, including benefits established in section 38-783, for the employer's active, inactive or retired members as of the actuarial valuation performed immediately preceding the nonparticipation date.

7. "Plan funded percentage" means the plan's total market value of assets divided by the plan's actuarial accrued liability for all benefits provided under this article, including benefits established in section 38-783, for all active, inactive or retired members as of the actuarial valuation performed immediately preceding the nonparticipation date. If the percentage is greater than one hundred percent, the plan funded percentage is one hundred percent.
A.R.S. § 38-363 — Arizona Code / Title 38 / Chapter 2 / Article 9 / Section 363
38-363 Withholding or destruction of records or property of office by former officer; classification
Status: in_force

38-363. Withholding or destruction of records or property of office by former officer; classification

A public officer whose office is abolished by law, or who, after expiration of the time for which he has been appointed or elected, or after he has resigned or been legally removed from office, knowingly and unlawfully withholds or detains from his successor, or other person entitled thereto, the records, papers, documents or other writings pertaining or belonging to his office, or who knowingly mutilates, destroys or takes away any thereof, or who knowingly and unlawfully withholds or detains from his successor, or other person entitled thereto, any money or property in his custody as such officer, is guilty of a class 4 felony.
A.R.S. § 38-845.03 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 845.03
38-845.03 Early retirement
Status: in_force

38-845.03. Early retirement

Members who are hired on or after July 1, 2017 and who have earned at least fifteen years of credited service may retire at fifty-two and one-half years of age and will receive an actuarially equivalent retirement benefit to the benefit amount prescribed in section 38-845, subsection I.
A.R.S. § 38-821 — Arizona Code / Title 38 / Chapter 5 / Article 3 / Section 821
38-821 Charter city retirement system service credits; transfers
Status: in_force

38-821. Charter city retirement system service credits; transfers

A. A member of a charter city retirement system who is an elected official may apply for a transfer of service credits from the charter city retirement system to the elected officials' retirement plan pursuant to this section if all of the following conditions are met:

1. The member initiates the transfer by making written application to the elected officials' retirement plan.

2. The charter city retirement system and the elected officials' retirement plan agree regarding the terms of the transfer.

3. The transfer does not cause either the charter city retirement system or the elected officials' retirement plan to incur any unfunded accrued liabilities as a result of the transfer.

B. Service credits qualified in accordance with subsection A may be transferred or redeemed in accordance with the following:

1. If a member's contributions remain on deposit with the charter city retirement system, the following shall be calculated:

(a) The charter city retirement system shall calculate the amount equal to the actuarial present value of a member's projected benefits to the extent funded on a market value basis as of the most recent actuarial valuation under the charter city retirement system as calculated by the system's actuary using the actuarial method and assumptions recommended by the system's actuary and based on the transferring member's service credits at the time of transfer.

(b) The elected officials' retirement plan shall calculate the increase in the actuarial present value of the projected benefits provided as a result of the transfer of the member's service credits. This calculation shall be performed by the plan's actuary using the actuarial method and assumptions recommended by the plan's actuary and based on the transferring member's service credits at the time of transfer.

2. If a member decides to transfer:

(a) If the amount calculated in paragraph 1, subdivision (b) of this subsection is greater than the amount calculated in paragraph 1, subdivision (a) of this subsection:

(i) The charter city retirement system shall transfer to the elected officials' retirement plan the greater of the amount calculated in paragraph 1, subdivision (a) of this subsection or the member's accumulated contribution account balance.

(ii) If the amount transferred is less than the amount calculated under paragraph 1, subdivision (b) of this subsection, the transferring member shall elect either to pay the difference or to accept a reduced transfer of service credits. If the member elects to pay the difference, the amount paid shall be added to the member's accumulated contribution account balance. If the member elects to accept a reduced transfer of service credits, the amount of service credits transferred shall be equal to the amount of service credits used in making the calculation under paragraph 1, subdivision (a) of this subsection multiplied by the ratio of the amount calculated under paragraph 1, subdivision (a) of this subsection to the amount calculated under paragraph 1, subdivision (b) of this subsection.

(b) If the amount calculated in paragraph 1, subdivision (b) of this subsection is less than or equal to the amount calculated in paragraph 1, subdivision (a) of this subsection, the charter city retirement system shall transfer to the elected officials' retirement plan the greater of the amount calculated in paragraph 1, subdivision (b) of this subsection or the member's accumulated contribution account balance.

3. If an applicant has withdrawn member contributions from the charter city retirement system, the applicant shall pay into the elected officials' retirement plan an amount equal to the increase in the actuarial present value of the projected benefits provided by the service credits being redeemed and this amount shall be included in the member's current accumulated contribution account balance. The actuary of the elected officials' retirement plan shall perform this calculation using the actuarial method and assumptions the actuary recommends.

C. Service credits shall not be applied to the applicant's account until complete payment is made to the elected officials' retirement plan. On completion of the transfer provided for in this section, the member's rights in the charter city retirement system are extinguished.
A.R.S. § 38-912 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 912
38-912 Civil liability; restitution or payment of fine; forfeiture of benefits; violation; classification; offset of benefits
Status: in_force

38-912. Civil liability; restitution or payment of fine; forfeiture of benefits; violation; classification; offset of benefits

A. A person who defrauds the plan or who takes, converts, steals or embezzles monies owned by or from the plan and who fails or refuses to return the monies to the plan on the board's written request is subject to civil suit by the plan in the superior court in Maricopa county.  On entry of an order finding the person has defrauded the plan or taken, converted, stolen or embezzled monies owned by or from the plan, the court shall enter an order against that person and for the plan awarding the plan all of its costs and expenses of any kind, including attorney fees, that were necessary to successfully prosecute the action.  The court shall also grant the plan a judicial lien on all of the nonexempt property of the person against whom judgment is entered pursuant to this subsection in an amount equal to all amounts awarded to the plan, plus interest at the rate prescribed by section 44-1201, until all amounts owed are paid to the plan.

B. If a member is convicted of, or discharged because of, theft, embezzlement, fraud or misappropriation of an employer's property or property under the control of the employer, the member is subject to restitution and fines imposed by a court of competent jurisdiction.  The court may order the restitution or fines to be paid from any payments otherwise payable to the member from the plan.

C. A person who knowingly makes any false statement or who falsifies or permits to be falsified any record of the plan with an intent to defraud the plan is guilty of a class 5 felony. If any change or error in the records results in any member or beneficiary receiving from the plan more or less than the member or beneficiary would have been entitled to receive had the records been correct, the local board shall correct the error, and as far as practicable shall adjust the payments in a manner that the actuarial equivalent of the benefit to which the member or beneficiary was correctly entitled shall be paid.  If a member is convicted of a crime pursuant to this subsection, section 13-713 applies.

D. Notwithstanding any other provision of this article, the board may offset against any benefits otherwise payable by the plan to a member or survivor any court ordered amounts awarded to the board and plan and assessed against the member or survivor.
A.R.S. § 38-792 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 792
38-792 Exemptions from execution, attachment and taxation; exception
Status: in_force

38-792. Exemptions from execution, attachment and taxation; exception

A. The benefits and annuities, the member and employer contributions and the securities in ASRS accounts provided for in this article are not subject to execution or attachment and are nonassignable except as specifically provided in this article. The member and employer contributions and the securities in ASRS accounts are exempt from state, county and municipal income taxes. Contributions that are withdrawn after December 31, 1974 by a public officer or employee from the accounts of ASRS and that are not received as benefits from ASRS and benefits and annuities received by a public officer or employee from ASRS after December 31, 1988 are subject to tax pursuant to title 43.

B. Interest, earnings and all other credits pertaining to benefits and annuities are not subject to execution or attachment and are nonassignable.
A.R.S. § 38-766 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 766
38-766 Retired members; return to work; suspension of benefits; exceptions; maximum benefit
Status: in_force

38-766. Retired members; return to work; suspension of benefits; exceptions; maximum benefit

A. A retired member who is engaged to work by an employer for at least twenty weeks in each fiscal year and at least twenty hours per week resumes active membership in ASRS. ASRS shall suspend payment of the member's retirement benefits until the member either:

1. Terminates employment and files an application for reretirement on a form that is approved by the director.

2. Attains a normal retirement date, no longer meets the requirements for active membership pursuant to this subsection and files an application for reretirement on a form that is approved by the director.

B. A retired member whose retirement benefits have been suspended pursuant to subsection A of this section shall repay ASRS any retirement benefits received by the member from the date ASRS notifies the member in writing that the member's employment resulted in active membership in ASRS pursuant to subsection A of this section, from the date ASRS determines that the member knew or should have known that the member's employment resulted in membership in ASRS pursuant to subsection A of this section or for any other period that approximates the duration of the violation, as determined by ASRS.

C. A member who satisfies subsection A, paragraph 1 or 2 of this section is entitled to receive an annuity recomputed to include the additional compensation and credited service. However, the recomputed annuity shall be in the original optional form chosen pursuant to section 38-760, with the same beneficiary, if applicable, as when the member first retired, unless the member has resumed active membership for at least sixty consecutive months.  A member who retired under a provision of law allowing increased benefits if the retirement occurred during a specific period of time and who subsequently becomes an employee under ASRS shall not retain the increased benefits under the prior law when benefits are computed for the member's most recent retirement.

D. Notwithstanding subsection A of this section, ASRS shall not suspend the payment of retirement benefits if a retired member begins or returns to employment with an employer in a position that satisfies all of the following:

1. Results in a true change in position, job duties and job title from the position occupied by the member before ASRS retirement.

2. Either:

(a) Requires participation in another state retirement system, plan or program and the retired member makes contributions or waives participation pursuant to section 38-804, subsection A.

(b) Allows a member to elect to participate in another state retirement system, plan or program and the member makes such an election.

3. Does not require membership in the defined benefit plan established by this article.

E. A retired member who returns to work pursuant to subsection D of this section does not accrue credited service, member service as provided in section 15-1628, subsection B, paragraph 4, additional account balances, retirement benefits or long-term disability program benefits pursuant to article 2.1 of this chapter for the period the retired member returns to work. The period the retired member returns to work is not eligible for purchase under section 38-743 or 38-744.

F. Section 38-769, subsection L applies when determining the maximum benefit that may be paid to a retired member who resumes active membership and subsequently retires.

G. An employer that engaged the retired member to work pursuant to this section shall pay to ASRS an amount equal to the rate established by the actuary pursuant to section 38-766.02, subsection B for the period starting with the first day the retired member began working after retirement through the earlier of:

1. The date the member terminates employment.

2. The date the member resumes active membership pursuant to subsection A of this section and the member and employer are required to make contributions pursuant to section 38-736, 38-737 or 38-738.
A.R.S. § 38-234 — Arizona Code / Title 38 / Chapter 2 / Article 4 / Section 234
38-234 Usurpation of office; classification
Status: in_force

38-234. Usurpation of office; classification

A person who knowingly intrudes himself into a public office to which he has not been elected or appointed, or a person who, having been a public officer, knowingly exercises the functions of his office after his term has expired and a successor has been elected or appointed and has qualified, is guilty of a class 2 misdemeanor.
A.R.S. § 38-712 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 712
38-712 ASRS purpose; trust fund
Status: in_force

38-712. ASRS purpose; trust fund

A. The primary intent of ASRS is to:

1. Provide an incentive in the recruitment and retention of employees of the highest possible quality.

2. Contribute toward providing a total compensation package that is generally equivalent to comparable employment in other public and private organizations in this state.

3. Provide a retirement system that encourages employees to remain in service for periods of time that will provide public employers with the full benefit of the training and experience gained by the employees.

4. Provide an orderly method of promoting and maintaining a high level of service to the public through an equitable separation procedure that is available to employees at retirement or on becoming a person with a disability.

5. Provide a base retirement benefit that is less than one hundred per cent of a member's post-retirement income requirements, recognizing that personal savings and social security also contribute toward total post-retirement income requirements.

B. ASRS is a defined benefit plan as described in section 414(j) of the internal revenue code. As provided in section 38-771, some eligible members of ASRS are entitled to benefits under the defined contribution program administered by ASRS. With respect to the portion of ASRS that provides benefits to members entitled to benefits under the defined contribution program that are derived from employer contributions and that are based partly on the balance of the separate account of a member, ASRS is a plan described in section 414(k) of the internal revenue code and shall comply with all applicable provisions of section 414(k) of the internal revenue code.

C. A public employee's retirement trust fund is established to afford an optimum degree of security to the members of ASRS. All monies and other assets of ASRS are a part of the trust fund. All accounts, depositories and funds of ASRS are included within the trust fund.

D. Except as provided in section 38-738, an employer does not have a beneficial interest in any asset of the trust fund, and no part of the trust fund may ever revert to or be paid, directly or indirectly, to an employer. All liabilities with respect to members and their beneficiaries shall be satisfied before any part of the corpus or income of the trust fund is used for or diverted to purposes other than for the exclusive benefit of members or their beneficiaries.
A.R.S. § 38-729 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 729
38-729 Political subdivision plans
Status: in_force

38-729. Political subdivision plans

A. The governing body of any political subdivision may adopt, by appropriate legislation, a supplemental retirement plan for employees and officers of the political subdivision. The supplemental retirement plan shall provide the same retirement benefits and require the same obligations for entitlement as are provided for other members under this article, except that:

1. The supplemental retirement plan shall specify the date of commencement of the supplemental retirement plan as the first day of the month following board approval of the supplemental plan of the political subdivision as provided in this section.

2. Employer and employee obligations shall be paid to ASRS in accordance with that date.

B. The governing body of the political subdivision shall submit the supplemental retirement plan to the board in the form of an agreement. The agreement shall state the terms of the supplemental retirement plan as provided in this section. The board shall either approve or disapprove the supplemental retirement plan submitted by the governing body of the political subdivision.

C. On approval, the board shall administer the supplemental plan of the political subdivision.

D. The employer's share of contributions and payments in excess of those required of the employer under section 38-737 shall be paid from monies of the political subdivision.

E. On establishment of the supplemental retirement plan the governing body of the political subdivision shall deduct member contributions in the same amounts and in the same manner as provided in this article for state employees and shall pay those contributions, together with the employer contributions for the political subdivision, to ASRS for deposit in the ASRS depository. The governing body of the political subdivision shall reimburse ASRS in a similar manner for its pro rata share of administrative costs attributable to coverage of employees of the political subdivision.

F. In addition to the employer contributions required under section 38-737, on establishment of the supplemental retirement plan the governing body of the political subdivision shall pay to ASRS the amount equal to the present value required to fund additional costs of benefits attributable to service for the political subdivision before the effective date of the supplemental retirement plan using the actuarial assumptions that are approved by the board. The board may authorize payments to be made at such times as the board requires and in amounts that are less than the amount required for fully funding the additional costs.

G. If the supplemental retirement plan is authorized by a political subdivision, then on or after the effective date of the supplemental retirement plan the governing body of the political subdivision and the board may sign an agreement to waive the provisions of subsection F of this section and to authorize benefits under the supplemental retirement plan only for service with the political subdivision after the effective date of the supplemental retirement plan. In lieu of waiving benefits for all service before the effective date of the supplemental retirement plan, the governing body of the political subdivision may elect to waive benefits for a portion of that service. Amendments to the agreement may increase but shall not reduce the service for which a member is entitled to benefits. The governing body of the political subdivision shall certify for each member the years of service before the effective date of the supplemental retirement plan for which the member is entitled to benefits. In addition to the employer contributions required in section 38-737, the governing body of the political subdivision shall pay to ASRS the amount, as determined by the board, required to fund the cost of the benefits attributable to service before the effective date of the supplemental retirement plan for which members are entitled to benefits.

H. The new political subdivision shall designate the classification of employees that is eligible for membership in ASRS and shall make contributions each year as provided in this section.

I. The liability of the political subdivision providing a supplemental retirement plan within ASRS arises in consideration of the officer's or employee's retention in or entrance into service for the political subdivision.

J. Notwithstanding any other law, an employee of a political subdivision who was previously a member of another public employee retirement system and who receives or is eligible to receive retirement benefits from that public employee retirement system for any period of employment is ineligible to receive service credit from ASRS for the same period of employment.
A.R.S. § 38-642 — Arizona Code / Title 38 / Chapter 4 / Article 3 / Section 642
38-642 Public safety cancer insurance policy program
Status: in_force

38-642. Public safety cancer insurance policy program

A. Except as provided in subsection D of this section, the board shall establish and administer a public safety cancer insurance policy program for participating employers that employ firefighters or peace officers.  For the purposes of the internal revenue code, the program is an integral part of a political subdivision of this state.

B. Except as provided in subsection D of this section, participating employers that employ firefighters or peace officers shall participate in the program.

C. The board shall contract for a group cancer insurance policy to provide coverage as prescribed by section 38-645 or may self-insure the program by establishing an insurance policy that is of its own design and that is underwritten by the assets of the public safety cancer insurance policy program account established by section 38-643. When procuring, establishing or administering any cancer insurance policy provided pursuant to this article the board is exempt from the requirements of title 41, chapter 23.

D. The board shall administer a public safety cancer insurance policy program for employers and their employees who are corrections officers, detention officers or other members as defined in section 38-881 and who join the program. The state department of corrections, the department of juvenile corrections, the department of public safety or a county, city or town may establish a voluntary cancer insurance policy program for employees who are corrections officers, detention officers or other members as defined in section 38-881. The state department of corrections, the department of juvenile corrections, the department of public safety or a county, city or town that, in its discretion, establishes a program shall collect the payments for the program and submit the monies to the board on behalf of the employees who voluntarily enroll in the program and make payments for the cancer insurance. If a county, city or town establishes a voluntary cancer insurance policy program, the county, city or town is not required to make payments for the cancer insurance. If the state department of corrections, the department of juvenile corrections or the department of public safety establishes a voluntary cancer insurance policy program, the department shall not make payments for the cancer insurance.  The board may adopt policies that establish criteria for participation in the program pursuant to this subsection.

E. On or before July 31 of each year, the board shall notify each employer required to participate in the program of the total amount payable to the board to pay for the costs of the program.  The amount charged to each employer shall not exceed one hundred eighty dollars for each employee of the employer who is a firefighter, peace officer, corrections officer, detention officer or any other member as defined in section 38-881 on record with the board as of June 30 of that year. Each employer shall pay this amount to the board on or before August 31 of each year.

F. Employers that fail to pay the amount required by subsection E of this section by August 31 shall pay a fifteen percent late charge to the board on all delinquent amounts accrued monthly. If the amount due and the late charge are not paid within thirty days, the board may recover the amounts due from the employer by either:

1. Filing an action in a court of competent jurisdiction to recover the amount due.

2. Requesting a deduction of any monies, including excise revenue taxes, payable to the employer by any department or agency of this state.

G. If the board self-insures the program the board and the program are exempt from title 20 and any rules adopted pursuant to title 20.
A.R.S. § 38-320 — Arizona Code / Title 38 / Chapter 2 / Article 7 / Section 320
38-320 Appearance of accused; plea
Status: in_force

38-320. Appearance of accused; plea

A. If the accused does not appear, the court of impeachment, upon proof of service or publication may, on motion or for cause shown, assign another day for hearing the impeachment proceedings, or may proceed in the absence of the accused to trial and judgment.

B. The accused may, in writing, object to the sufficiency of the articles of impeachment, or he may answer them by an oral plea of not guilty. The plea of not guilty shall be entered upon the journal and places in issue every material allegation of the articles of impeachment.

C. If the objection to the sufficiency of the articles of impeachment is not sustained by a majority of the members of the court who heard the argument, the accused shall be ordered forthwith to answer the articles of impeachment. If the accused then pleads guilty, or refuses to plead, the court shall render judgment of conviction against him. If the accused pleads not guilty, the court shall at such time as it appoints, try the impeachment.
A.R.S. § 38-651.04 — Arizona Code / Title 38 / Chapter 4 / Article 4 / Section 651.04
38-651.04 Procurement of insurance; combining of coverages
Status: in_force

38-651.04. Procurement of insurance; combining of coverages

The department of administration may procure insurance coverages provided in this article in any combination of coverages with a single insurance carrier through application of coverage reserves in any combination.
A.R.S. § 38-883 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 883
38-883 Board of trustees; powers and duties; reporting requirements
Status: in_force

38-883. Board of trustees; powers and duties; reporting requirements

A. The board shall:

1. Maintain records of the operation and administration of the plan and fund.

2. Contract on a fee basis for an independent annual audit of the accounting records of the plan and fund and file a copy of the audit report with the auditor general.

3. Employ on a fee basis an independent firm of actuaries to perform annual actuarial valuations for each participating employer of the plan and fund based on an actuarial cost method and actuarial assumptions recommended by the actuary and adopted by the board. The actuarial valuations shall be performed by or under the direct supervision of an actuary who is a member of the American academy of actuaries. By November 1 of each year, the board shall provide a preliminary report and by December 1 of each year provide a final report to the governor, the speaker of the house of representatives and the president of the senate on the contribution rate for the ensuing fiscal year.

4. Invest and reinvest the monies and assets of the fund in accordance with the investment provisions of the public safety personnel retirement system. The board may commingle securities and monies of the fund subject to the crediting of receipts and earnings and charging of payments to the account of the appropriate employer.

5. Submit a detailed annual report of the operation and investment performance of the plan and fund to the governor, the legislature and the members of the plan. The board shall submit the annual report not later than six months after the end of the fiscal year to which it pertains.

B. The board of trustees may:

1. Employ services it deems necessary, including legal services, for the operation and administration of the plan and fund.

2. Utilize separate or commingled investment vehicles.

3. Delegate authority to the administrator employed pursuant to section 38-848, subsection M, paragraph 6.

4. Appear before local boards and the courts and political subdivisions of this state through counsel or appointed representatives to protect the fund. The board of trustees is not responsible for the actions or omissions of the local boards under this plan but may seek review or a rehearing of actions or omissions of local boards. The board of trustees does not have a duty to review actions of the local boards but may do so, in its discretion, in order to protect the fund.

5. Perform all acts, whether or not expressly authorized, that it deems necessary and proper for the protection of the plan and fund.
A.R.S. § 38-1140 — Arizona Code / Title 38 / Chapter 8 / Article 2 / Section 1140
38-1140 Probation officers; fitness for duty; examinations; rights of probation officers; definitions
Status: in_force

38-1140. Probation officers; fitness for duty; examinations; rights of probation officers; definitions

A. An employer may order a probation officer to submit to a physical examination only if the probation officer has acted or failed to act in an observable manner that indicates that there is a physical condition materially limiting the probation officer's ability to perform the essential functions of the probation officer's job within the probation officer's job description. The order shall state all of the specific objective facts on which the order for the physical exam is based except that the order may omit the specific names of individuals who reported the probation officer's conduct to the supervisor.

B. The order shall provide at least ten calendar days' notice to the probation officer to be examined and shall specify the time, place, manner, conditions and scope of the examination and the person or persons who will conduct the examination. The probation officer to be examined may have a representative present during the examination if the physician conducting the examination agrees.

C. The employer shall provide the probation officer with the final report of the examination containing the medical professional's findings.  The employer may provide any additional information related to the fitness for duty examination to the examining physician.

D. The report shall be provided only to the employer and the probation officer and shall not be provided to any other person except as required for any subsequent appeal or certification action involving the probation officer. The employer shall provide notice to the probation officer that the report has been received by the employer. The report shall be provided to the probation officer immediately if the probation officer presents the final report of an independent medical examination or if the probation officer waives any right to request an independent medical examination. If the probation officer does not present the results of an independent medical examination within twenty calendar days after the employer provides notice to the probation officer that the report has been received by the employer, the probation officer is deemed to have waived the right to present the results of the independent medical examination.

E. The employer shall make a reasonable good faith effort to deliver the report to the probation officer.

F. The physician may consider and report on only the probation officer's medical or other records that are directly relevant to the actions in question and when conducting the examination, including medical records that record preexisting conditions that are relevant to the examination.  The physician may additionally consider and report any condition of the probation officer that the physician identifies during the course of the physical examination and that endangers the health and safety of the probation officer or the community.

G. The employer shall not take any final action until after the probation officer has had at least twenty calendar days to review the report unless the probation officer waives the twenty-day period or the employer grants an extension.

H. This section does not prohibit the preexamination materials from being used in any proceeding held pursuant to section 38-1134.

I. Providing the preexamination materials to the person conducting the independent examination of the probation officer does not change the disclosure requirements under section 38-1134.

J. For the purposes of this section:

1. "Independent medical examination" means an assessment that is requested by a probation officer, that is conducted by a physician who is licensed pursuant to title 32, chapter 13 or 17 and that is used to provide a second, independent opinion of a current probation officer who has been determined to not be able to perform essential functions of the job as a result of observation and a subsequent employer-ordered physical examination.

2. "Preexamination materials" means all information or materials that the employer gives to the physician who conducts the physical examination and that serve as the basis for the examination.
A.R.S. § 38-844.03 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 844.03
38-844.03 Eligibility; participation
Status: in_force

38-844.03. Eligibility; participation

A. Any member who is eligible for a normal pension pursuant to section 38-844, subsection A, who becomes a member of the system before January 1, 2012 and who has at least twenty years of credited service is eligible to participate for not more than sixty consecutive months in the deferred retirement option plan. In addition, any member who is subject to section 38-858, subsection C is eligible to participate for not more than sixty consecutive months in the deferred retirement option plan retroactive to the member's twentieth year of credited service or on the day before the member began military service, whichever is later, if the member makes the election pursuant to this section on or before resuming employment with the member's employer.  Any member who is eligible for a normal pension pursuant to section 38-844, subsection A, who becomes a member of the system before January 1, 2012, who is at least fifty-one years of age and who has at least twenty-four and one-half years of credited service is eligible to participate for not more than eighty-four consecutive months in the deferred retirement option plan.

B. A member who elects to participate in the deferred retirement option plan shall voluntarily and irrevocably:

1. Designate a period of participation that is not more than sixty consecutive months or eighty-four consecutive months, as applicable pursuant to subsection A of this section.

2. Beginning on the date the member elects to participate in the deferred retirement option plan, cease to accrue benefits under any other provision of this article.  The member's effective date of participation is the first day of the month following the date the member elects to participate.

3. Have deferred retirement option plan benefits credited to a deferred retirement option plan participation account pursuant to section 38-844.05.

4. Receive benefits from the system on termination of employment at the same time and in the same manner as otherwise prescribed in this article.

5. Agree to terminate employment on completion of the deferred retirement option plan participation period designated by the member on the appropriate deferred retirement option plan participation form.

C. If a member fails to terminate employment on completion of the designated deferred retirement option plan participation period:

1. The member is not entitled to the interest accumulation on the deferred retirement option plan participation account.

2. The deferred retirement option plan participation account shall not be credited with the monthly amount prescribed in section 38-844.05, subsection C, paragraph 1 and that amount shall not be paid directly to the member.

3. The payment prescribed in section 38-844.08, subsection A, paragraph 1 shall not be paid until the member terminates employment and is payable at the same time as the pension amount is paid on retirement.

4. The member does not acquire any further credited service in the system.
A.R.S. § 38-545 — Arizona Code / Title 38 / Chapter 3.1 / Article 1 / Section 545
38-545 Local public officers financial disclosure
Status: in_force

38-545. Local public officers financial disclosure

Notwithstanding the provisions of any law, charter or ordinance to the contrary, every incorporated city or town or county shall by ordinance, rule, resolution or regulation adopt standards of financial disclosure consistent with the provisions of this chapter applicable to local public officers.
A.R.S. § 38-870.05 — Arizona Code / Title 38 / Chapter 5 / Article 4.2 / Section 870.05
38-870.05 Contribution rate
Status: in_force

38-870.05. Contribution rate

A. Employer contributions shall be a percentage of gross pensionable compensation for each participant, as the system actuary determines pursuant to this section. The actuary shall make this determination in an annual valuation performed as of June 30.  The valuation as of June 30 of a calendar year shall determine the percentage to be applied to compensation for the fiscal year beginning July 1 of the following calendar year.  The actuary shall determine the total employer contribution using an actuarial cost method consistent with generally accepted actuarial standards. The total employer contributions shall be equal to the employer normal cost plus the amount required to amortize the past service funding requirement over a period consistent with generally accepted actuarial standards.

B. All contributions made by the employer and allocated to the disability program trust fund established by section 38-870.02 are irrevocable and shall be used as benefits under this article or to pay expenses of the disability program.
A.R.S. § 38-504 — Arizona Code / Title 38 / Chapter 3 / Article 8 / Section 504
38-504 Prohibited acts
Status: in_force

38-504. Prohibited acts

A. A public officer or employee shall not represent another person for compensation before a public agency by which the officer or employee is or was employed within the preceding twelve months or on which the officer or employee serves or served within the preceding twelve months concerning any matter with which the officer or employee was directly concerned and in which the officer or employee personally participated during the officer's or employee's employment or service by a substantial and material exercise of administrative discretion.

B. During the period of a public officer's or employee's employment or service and for two years thereafter, a public officer or employee shall not disclose or use for the officer's or employee's personal profit, without appropriate authorization, any information acquired by the officer or employee in the course of the officer's or employee's official duties which has been clearly designated to the officer or employee as confidential when such confidential designation is warranted because of the status of the proceedings or the circumstances under which the information was received and preserving its confidentiality is necessary for the proper conduct of government business. A public officer or employee shall not disclose or use, without appropriate authorization, any information that is acquired by the officer or employee in the course of the officer's or employee's official duties and that is declared confidential by law.

C. A public officer or employee shall not use or attempt to use the officer's or employee's official position to secure any valuable thing or valuable benefit for the officer or employee that would not ordinarily accrue to the officer or employee in the performance of the officer's or employee's official duties if the thing or benefit is of such character as to manifest a substantial and improper influence on the officer or employee with respect to the officer's or employee's duties.
A.R.S. § 38-601 — Arizona Code / Title 38 / Chapter 4 / Article 1 / Section 601
38-601 Effect of payment of legal salary
Status: in_force

38-601. Effect of payment of legal salary

State or county officers, employees, members of boards and commissions, and deputies, stenographers, clerks and employees of any such officer, board or commission, or of any institution, shall receive the salary provided by law, and shall not, under any pretext, receive any salary or emolument in excess of the salary so provided.
A.R.S. § 38-295 — Arizona Code / Title 38 / Chapter 2 / Article 6 / Section 295
38-295 Term of office; discharge of official duties after expiration of term; appointment to fill unexpired term
Status: in_force

38-295. Term of office; discharge of official duties after expiration of term; appointment to fill unexpired term

A. Unless otherwise specified by law, every officer holds office at the pleasure of the appointing power.

B. Every officer shall continue to discharge the duties of the office, although the term has expired, until a successor has qualified. The discharge of the duties of office for appointments requiring senate confirmation shall be governed by section 38-211.

C. Vacancies occurring in an office, or in the membership of a board or commission, shall be filled only for the unexpired term of the officer or member.
A.R.S. § 38-1101 — Arizona Code / Title 38 / Chapter 8 / Article 1 / Section 1101
38-1101 Definitions
Status: in_force

38-1101. Definitions

In this article, unless the context otherwise requires:

1. "Appeal" means a hearing before a state or local merit board, a civil service board, an administrative law judge or a hearing officer.

2. "At will" means an employment relationship where either party to the relationship may sever the relationship at any time for any reason other than an unlawful reason.

3. "Disciplinary action" means the dismissal, the demotion or any suspension of a law enforcement officer that is a result of misconduct or unsatisfactory performance.

4. "Excusable neglect" means neglect or inadvertence that might be the act of a reasonably prudent person under similar circumstances.

5. "Good faith" means honesty of purpose and absence of intent to defraud.

6. "Investigative file" means the law enforcement agency's complete report and any attachments detailing the incidents leading to the disciplinary action, including complaints, audio recordings, video recordings, photographs, witness statements and exculpatory and mitigating evidence.

7. "Just cause" means:

(a) The employer informed the law enforcement officer of the possible disciplinary action resulting from the officer's conduct through agency manuals, employee handbooks, the employer's rules and regulations or other communications to the officer or the conduct was such that the officer should have reasonably known disciplinary action could occur.

(b) The disciplinary action is reasonably related to the standards of conduct for a professional law enforcement officer, the mission of the agency, the orderly, efficient or safe operation of the agency or the officer's fitness for duty.

(c) The discipline is supported by a preponderance of evidence that the conduct occurred.

(d) The discipline is not excessive and is reasonably related to the seriousness of the offense and the officer's service record.

8. "Law enforcement officer" means:

(a) An individual, other than a probationary employee, who is certified by the Arizona peace officer standards and training board, other than a person employed by a multi-county water conservation district.

(b) A detention or corrections officer, other than a probationary employee or juvenile detention officer, who is employed by this state or a political subdivision of this state.

(c) A nonprobationary regularly appointed and paid deputy sheriff of a county.

(d) A nonprobationary regularly employed police officer in a city or town.
A.R.S. § 38-870 — Arizona Code / Title 38 / Chapter 5 / Article 4.2 / Section 870
38-870 Definitions
Status: in_force

38-870. Definitions

In this article, unless the context otherwise requires:

1. "Assets" means the accumulated resources of the disability program.

2. "Board" means the board of trustees established by section 38-848.

3. "Compensation":

(a) For a participant as defined in section 38-865, paragraph 7, subdivision (a), item (i), has the same meaning prescribed in section 38-842.

(b) For a participant as defined in section 38-865, paragraph 7, subdivision (b), means salary as defined in section 38-881.

4. "Disability program" or "program" means the public safety personnel defined contribution retirement plan disability program established by this article.

5. "Local board" has the same meaning prescribed in section 38-842 or 38-881, as applicable.

6. "Participant" means a participant who is in the public safety personnel defined contribution retirement plan and who is a participant as defined in section 38-865, paragraph 7, subdivision (a), item (i) or subdivision (b).

7. "Pensionable compensation" has the same meaning prescribed in section 38-865.
A.R.S. § 38-844.04 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 844.04
38-844.04 Termination of deferred retirement option plan participation
Status: in_force

38-844.04. Termination of deferred retirement option plan participation

A. A member may terminate participation in the deferred retirement option plan by voluntarily terminating employment at any time before the completion of the deferred retirement option plan participation period designated by the member on the appropriate deferred retirement option plan participation form.

B. Participation in the deferred retirement option plan terminates on the first occurrence of any of the following:

1. Completion of the deferred retirement option plan participation period designated by the member on the appropriate deferred retirement option plan participation form.

2. Termination of employment.  If termination of employment for cause is reversed, a member's participation in the deferred retirement option plan, minus any benefits previously distributed pursuant to this article, shall be reinstated for the duration of the original deferred retirement option plan participation period designated by the member on the appropriate deferred retirement option plan participation form.

3. Death of the member.

4. Approval of disability retirement benefits pursuant to section 38-844, subsection B.
A.R.S. § 38-889 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 889
38-889 Guaranteed minimum aggregate payout
Status: in_force

38-889. Guaranteed minimum aggregate payout

If all pension payments permanently terminate before an aggregate amount equal to the retired member's or deceased member's accumulated member contributions has been paid, the difference between the amount of accumulated member contributions and the aggregate amount of pension payments made shall be paid to the individual or individuals whom the member may have named on a form provided by and filed with the retirement plan. If no such named individual survives, the difference shall be paid to the legal representative of the last surviving individual who was being paid a pension or the last surviving named individual.
A.R.S. § 38-801 — Arizona Code / Title 38 / Chapter 5 / Article 3 / Section 801
38-801 Definitions
Status: repealed

38-801. Definitions

In this article, unless the context otherwise requires:

1. "Accumulated contributions" means the sum of all member contributions deducted from the member's salary pursuant to section 38-810, subsection A plus the amount transferred to the fund on behalf of the member plus the amount deposited in the fund pursuant to section 38-816.

2. "Actuarial equivalent" means equality in present value of the aggregate amounts expected to be received under two different forms of payment, based on mortality and interest assumptions adopted by the board.

3. "Alternate payee" means the spouse or former spouse of a participant as designated in a domestic relations order.

4. "Alternate payee's portion" means benefits that are payable to an alternate payee pursuant to a plan approved domestic relations order.

5. "Average yearly salary" means the result obtained by dividing the total salary paid to an employee during a considered period by the number of years, including fractional years, in which the salary was received. The considered period shall be:

(a) For an elected official who becomes a member of the plan before January 1, 2012, the three consecutive years within the last ten completed years of credited service as an elected official that yield the highest average. If a member does not have three consecutive years of credited service as an elected official, the considered period is the member's last consecutive period of employment with a plan employer immediately before retirement.

(b) For an elected official who becomes a member of the plan on or after January 1, 2012, the five consecutive years within the last ten completed years of credited service as an elected official that yield the highest average. If a member does not have five consecutive years of credited service as an elected official, the considered period is the member's last consecutive period of employment with a plan employer immediately before retirement.

6. "Board" means the board of trustees of the system.

7. "Credited service" means the number of whole and fractional years of a member's service as an elected official after the elected official's effective date of participation for which member and employer contributions are on deposit with the fund, plus credited service transferred to the plan from another retirement system or plan for public employees of this state, plus service as an elected official before the elected official's effective date of participation that is being funded pursuant to a joinder agreement pursuant to section 38-815 or service that was redeemed pursuant to section 38-816. Credited service does not include periods of service for which an active member is uncompensated by the employer and for which no contributions to the plan are made.

8. "Cure period" means the ninety-day period in which a participant or alternate payee may submit an amended domestic relations order and request a determination, calculated from the time the plan issues a determination finding that a previously submitted domestic relations order did not qualify as a plan approved domestic relations order.

9. "Determination" means a written document that indicates to a participant and alternate payee whether a domestic relations order qualifies as a plan approved domestic relations order.

10. "Determination period" means the ninety-day period in which the plan must review a domestic relations order that is submitted by a participant or alternate payee to determine whether the domestic relations order qualifies as a plan approved domestic relations order, calculated from the time the plan mails a notice of receipt to the participant and alternate payee.

11. "Direct rollover" means a payment by the plan to an eligible retirement plan that is specified by the distributee.

12. "Distributee" means a member, a member's surviving spouse or a member's spouse or former spouse who is the alternate payee under a plan approved domestic relations order.

13. "Domestic relations order" means an order of a court of this state that is made pursuant to the domestic relations laws of this state and that creates or recognizes the existence of an alternate payee's right to, or assigns to an alternate payee the right to, receive a portion of the benefits payable to a participant.

14. "Effective date of participation" means August 7, 1985, except with respect to employers and their elected officials whose contributions to the plan commence after that date, in which case the effective date of their participation in the plan is specified in the applicable joinder agreement.

15. "Elected official" means:

(a) Every elected official of this state who was a member of the plan on December 31, 2013.

(b) Every elected official of each county of this state who was a member of the plan on December 31, 2013.

(c) Every justice of the supreme court, every judge of the court of appeals, every judge of the superior court and every full-time superior court commissioner, except full-time superior court commissioners who failed to make a timely election of membership under the judges' retirement plan, repealed on August 7, 1985, who was a member of the plan on December 31, 2013.

(d) The administrator of the board if the administrator is a natural person but only if the administrator is employed by the board before January 1, 2012.

(e) Each elected official of an incorporated city or town whose employer has executed a proper joinder agreement for coverage of its elected officials and who was a member of the plan on December 31, 2013.

16. "Eligible child" means an unmarried child of a deceased active or retired member who meets one of the following qualifications:

(a) Is under eighteen years of age.

(b) Is at least eighteen years of age and under twenty-three years of age only during any period that the child is a full-time student.

(c) Is under a disability that began before the child attained twenty-three years of age and remains a dependent of the surviving spouse or guardian.

17. "Eligible retirement plan" means any of the following that accepts a distributee's eligible rollover distribution:

(a) An individual retirement account described in section 408(a) of the internal revenue code.

(b) An individual retirement annuity described in section 408(b) of the internal revenue code.

(c) An annuity plan described in section 403(a) of the internal revenue code.

(d) A qualified trust described in section 401(a) of the internal revenue code.

(e) An annuity contract described in section 403(b) of the internal revenue code.

(f) An eligible deferred compensation plan described in section 457(b) of the internal revenue code that is maintained by a state, a political subdivision of a state or any agency or instrumentality of a state or a political subdivision of a state and that agrees to separately account for amounts transferred into the eligible deferred compensation plan from this plan.

(g) Effective January 1, 2008, a Roth individual retirement account that satisfies the requirements of section 408A of the internal revenue code.

(h) For distributions made after December 18, 2015, a simple retirement account as defined in section 408(p) of the internal revenue code.

18. "Eligible rollover distribution" means a payment to a distributee, but does not include any of the following:

(a) Any distribution that is one of a series of substantially equal periodic payments made not less frequently than annually for the life or life expectancy of the member or the joint lives or joint life expectancies of the member and the member's beneficiary or for a specified period of ten years or more.

(b) Any distribution to the extent the distribution is required under section 401(a)(9) of the internal revenue code.

(c) The portion of any distribution that may not be included in gross income.

(d) Any distribution made to satisfy the requirements of section 415 of the internal revenue code.

(e) Hardship distributions.

(f) Similar items designated by the commissioner of the United States internal revenue service in revenue rulings, notices and other guidance published in the internal revenue bulletin.

19. "Employer" means a department, agency or political subdivision of this state that makes employer contributions to the plan pursuant to section 38-810 on behalf of an elected official who participates in the plan.

20. "Fund" means the elected officials' retirement plan fund.

21. "Notice of receipt" means a written document that is issued by the plan to a participant and alternate payee and that states that the plan has received a domestic relations order and a request for a determination that the domestic relations order is a plan approved domestic relations order.

22. "Participant" means a member who is subject to a domestic relations order.

23. "Participant's portion" means benefits that are payable to a participant pursuant to a plan approved domestic relations order.

24. "Pension" means a series of monthly payments to a person who is entitled to receive benefits under the plan.

25. "Personal representative" means the personal representative of a deceased alternate payee.

26. "Physician" means a physician who is licensed pursuant to title 32, chapter 13 or 17.

27. "Plan" means the elected officials' retirement plan.

28. "Plan approved domestic relations order" means a domestic relations order that the plan approves as meeting all the requirements for a plan approved domestic relations order as otherwise prescribed in this article.

29. "Plan year" or "fiscal year" means the period beginning on July 1 of any year and ending on June 30 of the next succeeding year.

30. "Retired member" means a person who is being paid a pension based on the person's credited service as a member of the plan.

31. "Segregated funds" means the amount of benefits that would currently be payable to an alternate payee pursuant to a domestic relations order under review by the plan, or a domestic relations order submitted to the plan that failed to qualify as a plan approved domestic relations order, if the domestic relations order were determined to be a plan approved domestic relations order.

32. "System" means the public safety personnel retirement system.
A.R.S. § 38-861 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 861
38-861 Future benefit increases; payment; cost calculation; definition
Status: in_force

38-861. Future benefit increases; payment; cost calculation; definition

A. Any future benefit increase adopted by the legislature or any participating employer for any member of the system shall be fully paid in the year of enactment of the benefit and may not be amortized over any period of years.  A benefit for members hired before July 1, 2017 shall be paid by the employer and the cost of the benefit for members hired on or after July 1, 2017 shall be split equally between the employer and the member.

B. The plan actuary shall calculate the cost of the benefit increase using all of the following:

1. A discount rate equal to the ten-year treasury constant maturity rate for the fiscal year in which the benefit is enacted.

2. An expected rate of return on assets equal to the ten-year treasury constant maturity rate for the fiscal year in which the benefit is enacted.

3. A mortality table based on the most recent proposal from the retirement plans experience committee of the society of actuaries that is not older than the RP-2014 mortality table.

4. All other actuarial assumptions approved by the board for the most recent fiscal year valuation.

C. For the purposes of this section, "future benefit increase" includes any benefit increase that leads to a change in the present value of future benefits or a change to accrued liabilities.
A.R.S. § 38-716 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 716
38-716 Employers' responsibilities under the system
Status: in_force

38-716. Employers' responsibilities under the system

In addition to any other requirements of this article or article 2.1, 7 or 8 of this chapter, an employer of a member shall:

1. Cooperate and collaborate with ASRS and follow all ASRS procedures to ensure the proper enrollment of members in the system.

2. Submit any reports, data, paperwork or materials that are requested by ASRS and that are necessary to make eligibility determinations and for the proper administration of the plan.

3. Attend the ASRS annual training conference.
A.R.S. § 38-724 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 724
38-724 Surrender of property subject to levy; authority to release levy and return property; definitions
Status: in_force

38-724. Surrender of property subject to levy; authority to release levy and return property; definitions

A. Any person in possession of, or obligated with respect to, property subject to levy on which a levy has been made, on request of ASRS, shall surrender the property or discharge the obligation to ASRS, except the part of the property that is, at the time of the request, subject to an attachment or execution under any judicial process.

B. A person who fails or refuses to surrender any property subject to levy, on request by ASRS, is liable in person and estate to this state in a sum equal to the value of the property not so surrendered, but not exceeding the amount of debt for the collection of which the levy has been made, with costs and interest on the sum at the interest rate determined by the board from the date of the levy or, in the case of a levy described in section 38-723, subsection E, from the date the person would otherwise have been obligated to pay the amounts to the debtor.  Any amount, other than costs, recovered under this subsection shall be credited against the debt for the collection of which the levy was made.

C. A person in possession of or obligated with respect to property subject to levy on which a levy has been made who, on request by ASRS, surrenders the property or discharges the obligation to ASRS is discharged from any obligation or liability to the debtor with respect to the property arising from the surrender or payment.

D. ASRS may release a levy on all or part of property levied on.  The release shall not operate to prevent any subsequent levy.

E. If ASRS determines that property has been wrongfully levied on, ASRS shall return the specific property levied on or an amount of money equal to the value of the property levied on.

F. For the purposes of this section:

1. "Levy" includes the power of distraint and seizure by any means.

2. "Person" includes an officer or employee of a corporation, an officer, employee or elected official of this state or its political subdivisions, or any agency or instrumentality of this state or its political subdivisions, or a member or employee of a partnership, who as such officer, employee, elected official or member is under a duty to surrender the property or rights to property or to discharge the obligation.
A.R.S. § 38-727 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 727
38-727 Eligibility; options
Status: in_force

38-727. Eligibility; options

A. The following provisions apply to all employees hired on or after the effective date:

1. All employees and officers of this state and all officers and employees of political subdivisions establishing a retirement plan administered by the board pursuant to this article are subject to this article, except that membership is not mandatory:

(a) On the part of any employee who is eligible and who elects to participate in the optional retirement programs established by the Arizona board of regents pursuant to the authority conferred by section 15-1628 or by a community college district board pursuant to authority conferred by section 15-1451.

(b) For a state elected official who is subject to term limits, who is elected or appointed before January 1, 2014, who is eligible for participation in ASRS because the state elected official elected not to participate in the elected officials' retirement plan as provided in section 38-804, subsection A and who elects not to participate in ASRS as provided in paragraph 7 of this subsection.

(c) On the part of any employee or officer who is eligible to participate and who participates in the elected officials' retirement plan pursuant to article 3 of this chapter, the elected officials' defined contribution retirement system pursuant to article 3.1 of this chapter, the public safety personnel retirement system pursuant to article 4 of this chapter or the corrections officer retirement plan pursuant to article 6 of this chapter.

2. All employees and officers of political subdivisions whose compensation is provided wholly or in part from state monies and who are declared to be state employees and officers by the legislature for retirement purposes are subject, on legislative enactment, to this article and are members of ASRS.

3. Any member whose service terminates other than by death or withdrawal from membership is deemed to be a member of ASRS until the member's death benefit is paid.

4. Employees and officers shall not become members of ASRS and, if they are members immediately before becoming employed as provided by this section, shall have their membership status suspended while they are employed by state departments paying the salaries of their officers and employees wholly or in part from monies received from sources other than appropriations from the state general fund for the period or periods payment of the employer contributions is not made by or on behalf of the departments.

5. Notwithstanding other provisions of this section, a temporary employee of the legislature whose projected term of employment is for not more than six months is ineligible for membership in ASRS. If the employment continues beyond six successive months, the employee may elect to either:

(a) Receive credit for service for the first six months of employment and establish membership in ASRS as of the beginning of the current term of employment if, within forty-five days after the first six months of employment, both the employer and the employee contribute to ASRS the amount that would have been required to be contributed to ASRS during the first six months of employment as if the employee had been a member of ASRS during those six months.

(b) Establish membership in ASRS as of the day following the completion of six months of employment.

6. A person who is employed in postgraduate training in an approved medical residency training program of an employer or a postdoctoral scholar who is employed by a university under the jurisdiction of the Arizona board of regents is ineligible for membership in ASRS.

7. A state elected official who is subject to term limits, who is elected or appointed before January 1, 2014 and who is eligible for participation in ASRS because the state elected official elected not to participate in the elected officials' retirement plan as provided in section 38-804, subsection A may elect not to participate in ASRS. The election not to participate is specific for that term of office. The state elected official who is subject to term limits shall make the election in writing and file the election with ASRS within thirty days after the elected official's retirement plan mails the notice to the state elected official of the state elected official's eligibility to participate in ASRS. The election is effective on the first day of the state elected official's eligibility.  If a state elected official who is subject to term limits fails to make an election as provided in this paragraph, the state elected official is deemed to have elected to participate in ASRS. The election not to participate in ASRS is irrevocable and constitutes a waiver of all benefits provided by ASRS for the state elected official's entire term, except for any benefits accrued by the state elected official in ASRS for periods of participation before being elected to an office subject to term limits or any benefits expressly provided by law.

8. A person may elect not to participate in ASRS if the person becomes employed by an employer after the person has attained at least sixty-five years of age, is not an active member, inactive member, retired member or receiving benefits pursuant to article 2.1 of this chapter and does not have any credited service or prior service in ASRS. The employee shall make the election not to participate in writing and file the election with ASRS within thirty days after employment. The election not to participate is irrevocable for the remainder of the person's employment for which the person made the election and constitutes a waiver of all benefits provided by the Arizona state retirement system. The period the person works is not eligible for purchase under section 38-743 or 38-744.

9. The following are ineligible for membership in ASRS:

(a) A person who performs services in a hospital, home or other institution as an inmate or patient at the hospital, home or other institution.

(b) A person who performs agricultural labor services, as defined in section 210 of the social security act.

(c) A person who is a nonresident alien temporarily residing in the United States and who holds an F-1, J-1, M-1 or Q-1 visa when services are performed.

(d) A person who performs services for a school, college or university in this state at which the person is enrolled as a student, as defined by the employing institution. The employing institution shall maintain an appeal process for a person who disagrees with the employing institution's determination that the person is a student and not eligible for membership in ASRS.

(e) A person who performs services under a program designed to relieve the person from unemployment.

B. The following elected officials are subject to this article if the member's employer is an employer under article 3 of this chapter:

1. A state elected official who is subject to term limits, who is elected or appointed on or before December 31, 2013 and who is an active, an inactive or a retired member of ASRS or a member of ASRS with a disability because the state elected official had previously elected not to participate in the elected officials' retirement plan as provided in section 38-804, subsection A.

2. An elected official, as defined in section 38-831, who is an active, an inactive or a retired member of ASRS or a member of ASRS with a disability, if the elected official's employer is a participating employer under this article and the elected official is eligible for ASRS service credit for the elected official's service.
A.R.S. § 38-840.09 — Arizona Code / Title 38 / Chapter 5 / Article 3.2 / Section 840.09
38-840.09 Assurances and liabilities
Status: in_force

38-840.09. Assurances and liabilities

A. This article does not establish:

1. A contract of employment between an employer and any employee.

2. A right of any member to continue in the employment of an employer.

3. A limitation of the rights of an employer to discharge any of its employees, with or without cause.

B. A member does not have any right to, or interest in, any EODC disability program assets on termination of the member's employment or otherwise, except as provided in this article, and then only to the extent of the benefits payable to the member out of EODC disability program assets.  All payments of benefits shall be made solely out of EODC disability program assets, and the employers, the board and members of the board are not liable for payment of benefits in any manner.

C. Benefits, employer and member contributions, earnings and all other credits payable under this article are not subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, charge, garnishment, execution or levy of any kind, either voluntary or involuntary, before actually being received by a person entitled to the benefit, earning or credit, and any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, charge, garnish, execute or levy or otherwise dispose of any benefit, earning or credit under this article is void.  The EODC disability program trust fund is not in any manner liable for, or subject to, the debts, contracts, liabilities, engagements or torts of any person entitled to any benefit, earning or credit under this article.

D. The employers, the board and members of the board do not guarantee the EODC disability program trust fund established by section 38-840.02 in any manner against loss or depreciation and are not liable for any act or failure to act that is made in good faith pursuant to this article. The employers are not responsible for any act or failure to act of the board or any member of the board. The board and members of the board are not responsible for any act or failure to act of any employer.

E. This section does not exempt benefits under the program from a writ of attachment, a writ of execution, a writ of garnishment and orders of assignment issued by a court of record as the result of a judgment for arrearages of child support or for child support debt.
A.R.S. § 38-541 — Arizona Code / Title 38 / Chapter 3.1 / Article 1 / Section 541
38-541 Definitions
Status: in_force

38-541. Definitions

In this chapter, unless the context otherwise requires:

1. "Business" includes any enterprise, organization, trade, occupation or profession, whether or not operated as a legal entity or for profit, including any business trust, corporation, partnership, joint venture or sole proprietorship.

2. "Compensation" means anything of value or advantage, present or prospective, including the forgiveness of debt.

3. "Controlled business" means any business in which the public officer or any member of his household has an ownership or beneficial interest, individually or combined, amounting to more than a fifty percent interest.

4. "Dependent business" means any business in which the public officer or any member of his household has an ownership or beneficial interest, individually or combined, amounting to more than a ten percent interest, and during the preceding calendar year the business received from a single source more than ten thousand dollars and more than fifty percent of its gross income.

5. "Gift" includes any gratuity, special discount, favor, hospitality, service, economic opportunity, loan or other benefit received without equivalent consideration and not provided to members of the public at large. Gift does not include:

(a) Travel-related expenses that are publicly reported pursuant to this article.

(b) Political campaign contributions that are publicly reported pursuant to title 16, chapter 6.

6. "Local public officer" means a person holding an elective office of an incorporated city or town, a county or a groundwater replenishment district established under title 48, chapter 27.

7. "Member of household" means a public officer's spouse and any minor child of whom the public officer has legal custody.

8. "Public officer" means a member of the legislature and any judge of the court of appeals or the superior court, or a person holding an elective office the constituency of which embraces the entire geographical limits of this state. Members of Congress are not public officers as defined in this paragraph.

9. "Travel-related expenses" means any costs associated with transportation, food, lodging and registration fees and other expenses directly related to travel to or from a meeting, conference or other event where the public officer is participating in the public officer's official capacity.
A.R.S. § 38-610.02 — Arizona Code / Title 38 / Chapter 4 / Article 1 / Section 610.02
38-610.02 Leave of absence and compensation for national disaster medical system employment
Status: in_force

38-610.02. Leave of absence and compensation for national disaster medical system employment

A. An officer or employee of this state who is called into employment to the national disaster medical system under the United States department of health and human services and whose state employment is subject to title 41, chapter 4, article 4 or who is exempt pursuant to section 41-742, subsection D, paragraph 1, 2, 3 or 5 is eligible for an additional leave of absence until released from active duty by competent authority.  During the additional leave of absence, the officer or employee shall continue to receive the officer's or employee's salary or compensation, less the amount of all pay and allowances for activities while on active duty with the national disaster medical system.

B. An officer or employee who receives salary or compensation pursuant to subsection A of this section is not entitled to accrue annual leave or sick leave during the period of active duty.

C. An officer or employee may receive compensation pursuant to subsection A of this section for the continuous duration of the officer's or employee's order.

D. Within sixty days after an officer or employee who receives pay differential pursuant to this section completes the period of active duty, the officer or employee shall provide proof that the officer or employee rendered honorable service while on active duty during any period for which the officer or employee received the pay differential pursuant to this section. This state may seek recovery of the pay differential from any person who fails to provide proof of honorable service.

E. The rights and duties of an officer or employee who is subject to this section is subject to the uniformed services employment and reemployment rights act (38 United States Code chapter 43).

F. The director of the department of administration shall establish procedures to be used by an eligible officer or employee to receive compensation pursuant to subsection A of this section.
A.R.S. § 38-431.07 — Arizona Code / Title 38 / Chapter 3 / Article 3.1 / Section 431.07
38-431.07 Violations; enforcement; civil penalty; removal from office; in camera review
Status: in_force

38-431.07. Violations; enforcement; civil penalty; removal from office; in camera review

A. Any person affected by an alleged violation of this article, the attorney general or the county attorney for the county in which an alleged violation of this article occurred may commence a suit in the superior court in the county in which the public body ordinarily meets, for the purpose of requiring compliance with, or the prevention of violations of, this article, by the public body as a whole, or to determine the applicability of this article to matters or legal actions of the public body.  The attorney general may also commence a suit in the superior court in the county in which the public body ordinarily meets against an individual member of a public body for a knowing violation of this article, and in such a suit the court may impose a civil penalty against each person who knowingly violates this article or who knowingly aids, agrees to aid or attempts to aid in violating this article and order equitable relief as the court deems appropriate in the circumstances.  The court may impose a civil penalty not to exceed five hundred dollars for the second offense and not to exceed two thousand five hundred dollars for the third and subsequent offenses. If the court imposes a civil penalty against an individual member of the public body who knowingly violates this article, the public body may not pay the civil penalty on behalf of, or otherwise reimburse, the individual against whom the civil penalty has been imposed.  If the court finds that a person who might otherwise be liable under this subsection objected to the action of the public body and the objection is noted on a public record, the court may choose not to impose a civil penalty on that person. The civil penalties awarded pursuant to this section shall be deposited into the general fund of the public body concerned. The court may also order payment to a successful plaintiff in a suit brought under this section of the plaintiff's reasonable attorney fees, by the defendant state, the political subdivision of the state or the incorporated city or town of which the public body is a part or to which it reports. If the court determines that a public officer with intent to deprive the public of information knowingly violated any provision of this article, the court may remove the public officer from office and shall assess the public officer or a person who knowingly aided, agreed to aid or attempted to aid the public officer in violating this article, or both, with all of the costs and attorney fees awarded to the plaintiff pursuant to this section.

B. A public body shall not expend public monies to employ or retain legal counsel to provide legal services or representation to the public body or any of its officers in any legal action commenced pursuant to any provisions of this article, unless the public body has authority to make the expenditure pursuant to other provisions of law and takes a legal action at a properly noticed open meeting approving the expenditure before incurring any obligation or indebtedness.

C. In any action brought pursuant to this section challenging the validity of an executive session, the court may review in camera the minutes of the executive session, and if the court in its discretion determines that the minutes are relevant and that justice so demands, the court may disclose to the parties or admit in evidence part or all of the minutes.
A.R.S. § 38-1115 — Arizona Code / Title 38 / Chapter 8 / Article 1 / Section 1115
38-1115 Officers; purchase of firearm; definitions
Status: in_force

38-1115. Officers; purchase of firearm; definitions

A. On retirement, an officer who is a member of an eligible retirement system, subject to the officer's employer's approval, may purchase the firearms issued by the employer to the officer at a price determined by the administrator of the agency employing the law enforcement officer. This subsection applies to an officer who is a member of an eligible retirement system and to whom a firearm is issued during the course of the officer's employment by an employer as defined in section 38-711, 38-801, 38-842 or 38-881.

B. For the purposes of this section:

1. "Eligible retirement system" means the Arizona state retirement system, the elected officials' retirement plan, the public safety personnel retirement system and the corrections officer retirement plan.

2. "Firearms" means any handguns, pistols, revolvers, rifles, shotguns or other weapons that are designed to, will or may be readily converted to expel a projectile by the action of expanding gases.

3. "Officer" means a law enforcement officer as defined in section 38-1101 or a probation officer as defined in section 38-1131.
A.R.S. § 38-860 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 860
38-860 Domestic relations orders; procedures; payments
Status: in_force

38-860. Domestic relations orders; procedures; payments

A. Notwithstanding any other law, in a judicial proceeding for annulment, dissolution of marriage or legal separation that provides for the distribution of community property, or in any judicial proceeding to amend or enforce such a property distribution, a court in this state may issue a domestic relations order that provides that all or any part of a participant's benefit or refund in the system that would otherwise be payable to that participant shall instead be paid by the system to an alternate payee.  The value of a participant's benefit shall be the value on the earliest date of service of the petition for annulment, dissolution of marriage or legal separation.

B. A domestic relations order is not effective against the system unless the domestic relations order is approved by the system and qualifies as a plan approved domestic relations order.  To qualify as a plan approved domestic relations order, a domestic relations order shall comply with any policies or procedures adopted pursuant to subsection K of this section and shall also meet all of the following requirements:

1. The domestic relations order shall state the name and the last known mailing address of the participant and the name and last known mailing address of the alternate payee that is covered by the domestic relations order.

2. The domestic relations order shall clearly state the amount or percentage of the participant's benefits that is payable by the system to the alternate payee or the precise manner in which the amount or percentage is to be determined.

3. The domestic relations order shall state the number of payments or periods to which the domestic relations order applies, if applicable.

4. The domestic relations order shall state that the domestic relations order applies to the system.

5. The domestic relations order shall not require the system to provide any type or form of benefit or any option not otherwise provided by this article.

6. The domestic relations order shall not require the system to provide increased benefits determined on the basis of actuarial value.

7. The domestic relations order shall not require the payment of benefits to an alternate payee if the benefits are required to be paid to another alternate payee under a separate plan approved domestic relations order.

8. The domestic relations order shall have been issued by a court of competent jurisdiction of a state, territory or possession of the United States.

C. On receipt by the system of a certified copy of a domestic relations order and a written request for a determination that the domestic relations order is a plan approved domestic relations order, the system shall promptly issue a written notice of receipt stating that the domestic relations order and request were received to the participant and alternate payee at the addresses on file, if any.

D. The system has a determination period to issue a written determination indicating whether a domestic relations order qualifies as a plan approved domestic relations order. If the participant is receiving benefits during the determination period and if the system can determine the amount of the benefits that currently would be payable to the alternate payee if the domestic relations order were a plan approved domestic relations order, the system shall hold the segregated funds and shall pay the remaining portion of the benefits to the participant. If the system determines the domestic relations order is a plan approved domestic relations order, the system shall pay the participant and alternate payee pursuant to the plan approved domestic relations order in the month following the month in which the determination was issued or in the month following the month in which a benefit is payable under the plan approved domestic relations order, whichever is later.  If the system determines the domestic relations order fails to qualify as a plan approved domestic relations order, the system shall specify in its determination how the domestic relations order is deficient and how it may be amended to qualify as a plan approved domestic relations order. If the participant is currently receiving benefits and if the system can determine the amount of segregated funds that would be payable to the alternate payee if the domestic relations order were a plan approved domestic relations order, the system shall hold the segregated funds during the cure period to allow the parties to submit a certified copy of an amended domestic relations order and a written request for a determination that the amended domestic relations order is a plan approved domestic relations order. During the cure period, the system shall pay the participant's portion to the participant.  At the end of the cure period, if the issue of whether an amended domestic relations order qualifies as a plan approved domestic relations order remains undetermined or if an amended domestic relations order is determined not to be a plan approved domestic relations order, the system shall pay the segregated funds and the participant's portion to the participant.  The participant shall hold the segregated funds in trust for the alternate payee as provided in subsection J of this section.  If an amended domestic relations order that is submitted after the expiration of the cure period is determined to be a plan approved domestic relations order, the system shall make payments to an alternate payee under the plan approved domestic relations order only prospectively.  A determination by the system that a domestic relations order is not a plan approved domestic relations order does not prohibit a participant or alternate payee from submitting an amended domestic relations order to the system.

E. Each participant and alternate payee is responsible for maintaining a current mailing address on file with the system. The system has no duty to attempt to locate any participant or alternate payee.  The system has no duty to provide a notice of receipt or determination or pay benefits by means other than mailing the notice or payments to the participant or alternate payee at the last known address that is on file with the system.  If the address of an alternate payee is unknown to the system, but benefits are payable to the alternate payee pursuant to a plan approved domestic relations order, the system shall either:

1. Hold the alternate payee's portion until the alternate payee provides the system with a current address. Once the system is notified of the alternate payee's current address, the system shall prospectively pay the alternate payee's portion to the alternate payee.

2. Pay the alternate payee's portion to the participant, who shall hold the alternate payee's portion in trust as provided in subsection J of this section, until the alternate payee is located.  At that time, the participant shall pay the alternate payee's portion directly to the alternate payee.

F. If the address of a participant is unknown to the system, but benefits are payable to the participant pursuant to a plan approved domestic relations order, the system shall hold the participant's portion until the participant provides the system with a current address.

G. If the alternate payee identified in a plan approved domestic relations order predeceases the participant and the plan approved domestic relations order does not otherwise provide for the disposition of the alternate payee's interest, the system shall pay the alternate payee's portion to the personal representative of the deceased alternate payee pursuant to this subsection. The personal representative is responsible for maintaining a current mailing address on file with the system. The system has no duty to attempt to locate any personal representative. The system is not responsible for making benefit payments to a personal representative until the personal representative has both:

1. Persuaded the system that the personal representative is authorized to receive payments designated for the deceased alternate payee.

2. Provided the system with an address to which the payments should be sent.

H. If, within thirty days after the date the system verifies an alternate payee's death, a personal representative does not make demand on the system for the alternate payee's portion, the system shall either:

1. Hold the alternate payee's portion until the time a personal representative makes a proper demand for payment of the alternate payee's portion.

2. Remit the alternate payee's portion to the participant, who shall hold the amounts in trust for the estate of the alternate payee until the personal representative is identified.  At that time, the participant shall pay the alternate payee's portion paid by the system to the participant to the personal representative.

Thereafter, the plan shall prospectively pay the alternate payee's portion to the personal representative.

I. Amounts held or paid pursuant to this section shall not accrue interest unless otherwise prescribed by this article.

J. The system is not liable to the participant, the alternate payee, any personal representative of the estate of an alternate payee or any other person for any amount paid, withheld or disbursed by the system pursuant to this section.  If one or more payments are made by the system to a person not otherwise entitled to receive the payments, the recipient of the payment is designated a constructive trustee for the payment received and, together with the marital community, if any, is the sole party against whom an action may be brought to recover the payment.

K. The system may adopt policies and procedures that govern the implementation of this section.
A.R.S. § 38-867 — Arizona Code / Title 38 / Chapter 5 / Article 4.1 / Section 867
38-867 Contributions; member; employer; pickup
Status: in_force

38-867. Contributions; member; employer; pickup

(L24, Ch. 116, sec. 4; Eff. until 7/1/26)

A. Each participant in the defined contribution plan shall contribute the following percentage of the participant's gross pensionable compensation by salary reduction that shall be deposited in the participant's annuity account:

1. For a participant as defined in section 38-865, paragraph 7, subdivision (a), item (ii), three percent.

2. For a participant as defined in section 38-865, paragraph 7, subdivision (a), item (i), nine percent.

3. For a participant as defined in section 38-865, paragraph 7, subdivision (b), seven percent.

B. A participant as defined in section 38-865 may make a onetime irrevocable election, before the participant is eligible to participate in any qualified plan of the employer, to contribute more than the percentage of the participant's gross pensionable compensation specified in this section, up to the amount allowable under section 415(c) of the internal revenue code.  A participant as defined in section 38-865, paragraph 7, subdivision (b) may make a onetime irrevocable election, before the participant is eligible to participate in any qualified plan of the employer, to contribute less than the percentage of the participant's gross pensionable compensation specified in this section but may not elect to contribute less than five percent of the participant's gross pensionable compensation.  The election made pursuant to this subsection shall be the participant's contribution rate for the remainder of the participant's employment.

C. Although designated as employee contributions, all participant contributions made to the defined contribution plan shall be picked up and paid by the employer in lieu of contributions by the employee. The contributions picked up by an employer may be made through a reduction in the participant's compensation.  A participant in the defined contribution plan may not choose to receive the contributed amounts directly instead of the employer paying the amounts to the defined contribution plan. All participant contributions that are picked up by the employer as provided in this subsection shall be treated as employer contributions under section 414(h) of the internal revenue code, shall be excluded from the participant's gross income for federal and state income tax purposes and are includable in the gross income of the participant or the participant's beneficiaries only in the taxable year in which they are distributed.

D. Each employer shall annually make a contribution equal to the following percentages of each participant's gross pensionable compensation:

1. For a participant as defined in section 38-865, paragraph 7, subdivision (a), item (ii), three percent.

2. For a participant as defined in section 38-865, paragraph 7, subdivision (a), item (i), nine percent.

3. For a participant as defined in section 38-865, paragraph 7, subdivision (b), five percent.

E. The pro rata share of the amount paid in subsection D of this section shall be paid on each date that a participant contribution is made and shall be credited to the participant's annuity account.

F. Each participant as defined in section 38-865, paragraph 7, subdivision (a), item (i) and subdivision (b) and each employer shall contribute:

1. To the public safety personnel defined contribution retirement plan disability program established by article 4.2 of this chapter.

2. For participants who make an election pursuant to section 38-869, an equal amount for the group health benefits plan payments as specified in section 38-869 as determined by actuarial valuations reported by the board to the employer and local board, which shall be deposited in a separate account established pursuant to section 38-869.

G. A participant's contributions and earnings on those contributions are immediately vested.

H. A participant as defined in section 38-865, paragraph 7, subdivision (a) or section 38-865.01 is fully vested in the defined contribution plan after ten years of service, with employer contributions vesting at a rate of ten percent per year. If a participant described in this subsection dies or is determined to be eligible for an accidental or catastrophic disability pension pursuant to section 38-844 before completing ten years of service, the employer contributions are immediately fully vested.

I. A participant as defined in section 38-865, paragraph 7, subdivision (b) is fully vested in the defined contribution plan after three years of service, with the employer contributions vesting at the following rates:

1. Twenty-five percent after the first year of service.

2. Fifty percent after the second year of service.

3. One hundred percent after the third year of service.

J. If a participant as defined in section 38-865, paragraph 7, subdivision (b) dies or is determined to be eligible for an accidental or total and permanent disability pension pursuant to section 38-886 before completing three years of service, the employer contributions are immediately fully vested.
A.R.S. § 38-532 — Arizona Code / Title 38 / Chapter 3 / Article 9 / Section 532
38-532 Prohibited personnel practice; violation; reinstatement; exceptions; civil penalty
Status: in_force

38-532. Prohibited personnel practice; violation; reinstatement; exceptions; civil penalty

A. It is a prohibited personnel practice for an employee who has control over personnel actions to take reprisal against an employee for a disclosure of information of a matter of public concern by the employee to a public body that the employee reasonably believes evidences:

1. A violation of any law.

2. Mismanagement, a gross waste of monies or an abuse of authority.

B. The disclosure by an employee to a public body alleging a violation of law, mismanagement, gross waste of monies or abuse of authority shall be in writing and shall contain the following information:

1. The date of the disclosure.

2. The name of the employee making the disclosure.

3. The nature of the alleged violation of law, mismanagement, gross waste of monies or abuse of authority.

4. If possible, the date or range of dates on which the alleged violation of law, mismanagement, gross waste of monies or abuse of authority occurred.

C. An employee who knowingly commits a prohibited personnel practice shall be ordered by the state personnel board, a community college district governing board, a school district governing board, a city or town personnel board or any other appropriate independent personnel board established or authorized pursuant to section 38-534 to pay a civil penalty of up to $5,000 to the state general fund, a county general fund, a community college district unrestricted general fund, a school district maintenance and operation fund or a city or town general fund, whichever is appropriate. The employee who committed the prohibited personnel practice, not the governmental entity, shall pay the civil penalty.  On a finding that an employee committed a prohibited personnel practice, the employer shall take appropriate disciplinary action including dismissal, except that on a finding that an employee committed a prohibited personnel practice against an employee who disclosed information that the employee reasonably believed evidenced a violation of any law, the employee who knowingly committed the prohibited personnel practice is subject to a civil penalty of up to $10,000, the employer shall dismiss the employee and the employee is barred from any future employment by the government entity.

D. An employee or former employee against whom a prohibited personnel practice is committed may recover attorney fees, costs, back pay, general and special damages and full reinstatement for any reprisal resulting from the prohibited personnel practice as determined by the court.

E. An employee does not commit a prohibited personnel practice if he takes reprisal against an employee if that employee discloses information in a manner prohibited by law or the materials or information are prescribed as confidential by law.

F. This section may not be used as a defense in a disciplinary action where the employee is being disciplined for cause pursuant to section 41-773, except in a hearing on a complaint brought pursuant to this section by an employee or former employee who believes he has been the subject of a prohibited personnel practice as prescribed in this section as the result of a disclosure of information.

G. On request or at any time an employee alleges reprisal, an employer shall provide an employee who is subject to disciplinary or corrective action, suspension, demotion or dismissal with a copy of this section.

H. If an employee or former employee believes that a personnel action taken against him is the result of his disclosure of information under this section, he may make a complaint to an appropriate independent personnel board, if one is established or authorized pursuant to section 38-534, or to a community college district governing board, school district governing board or city or town council.  If an independent personnel board has not been established or authorized, or if a school district governing board, a community college district governing board or a city or town council does not hear and decide personnel matters brought pursuant to this section, the employee or former employee may make a complaint to the state personnel board.  A complaint made pursuant to this subsection shall be made within ten working days after the effective date of the action taken against him.  The state personnel board, a school district governing board, a community college district governing board, a city or town council or any other appropriate independent personnel board shall, pursuant to the rules governing appeals under section 41-783, make a determination concerning:

1. The validity of the complaint.

2. Whether a prohibited personnel practice was committed against the employee or former employee as a result of disclosure of information by the employee or former employee.

I. If the state personnel board, a community college district governing board, a school district governing board, a city or town council or any other appropriate independent personnel board established or authorized pursuant to section 38-534 determines that a prohibited personnel practice was committed as a result of disclosure of information by the employee or former employee, it shall rescind the personnel action and order that all lost pay and benefits be returned to the employee or former employee.  The employee, former employee, employee alleged to have committed a prohibited personnel practice pursuant to subsection A of this section or employer may appeal the decision of the state personnel board, a community college district governing board, a school district governing board, a city or town council or any other appropriate independent personnel board established or authorized pursuant to section 38-534 to the superior court as provided in title 12, chapter 7, article 6.

J. For purposes of a hearing by the state personnel board, a school district governing board, a community college district governing board, a city or town council or any other appropriate independent personnel board conducted under this section, the employee, former employee, employee alleged to have committed the prohibited personnel practice pursuant to subsection A of this section and employer may be represented by counsel. In addition, representation by counsel in such hearings shall meet any other requirements stipulated by the state personnel board, a school district governing board, a community college district governing board, a city or town council or any other appropriate independent personnel board or as required by law.

K. An employee or former employee may also seek injunctive relief as is otherwise available in civil actions. A court may award reasonable attorney fees to an employee or former employee who prevails in an action pursuant to this section, but the award of attorney fees shall not exceed $10,000.

L. This section shall not be construed to limit or extend the civil or criminal liability of an employee or former employee for any disclosure of information or to limit an employee's right to a separate pretermination hearing with the employee's employer, as provided by law.

M. An employee who knowingly makes a false accusation that a public officer or employee who has control over personnel actions has engaged in a violation of any law, mismanagement, a gross waste of monies or an abuse of authority is personally subject to a civil penalty of up to $25,000 and dismissal from employment by the employer.
A.R.S. § 38-859 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 859
38-859 Medical boards; purposes; composition; medical examinations
Status: in_force

38-859. Medical boards; purposes; composition; medical examinations

A. The purposes of a medical board are to:

1. Identify a physical or mental condition or injury that existed or occurred prior to the member's date of membership in the system and for which benefits may otherwise be limited by section 38-844, subsection D.

2. Evaluate a member's eligibility for an accidental disability pension.

3. Evaluate a member's eligibility for an ordinary disability pension.

4. Evaluate a member's eligibility for a temporary disability pension.

5. Evaluate a member's eligibility for a catastrophic disability pension.

6. For the purposes of section 38-846, determine through appropriate medical evidence the proximate cause of death for members who are killed in the line of duty if the death occurs more than one year after the date of injury.

B. For the purpose of determining a disability, the medical board shall be composed of a designated physician or physicians working in a clinic other than the employer's regular employee or contractee. Employees employed after October 1, 1992 shall undergo a medical examination for the purpose of identifying a physical or mental condition or injury that existed or occurred prior to a member's date of membership in the system and for which benefits may otherwise be limited by section 38-844, subsection D, and for this purpose, the medical board shall be composed of a designated physician or physicians working in a clinic that may be the employer's regular employee or contractee.

C. A finding of accidental, ordinary, temporary or catastrophic disability shall be based on medical evidence by a designated physician or a physician working in a clinic that is appointed by the local board pursuant to section 38-847, subsection D, paragraph 9 that established the disability. The local board shall resolve material conflicts in medical evidence. If required, the local board may employ other physicians or clinics to report on special cases.  With the approval of the local board, a designated physician or physicians working in a clinic that is employed by the local board may employ occupational specialists to assist the designated physician or physicians working in a clinic in rendering an opinion.

D. All employees shall undergo medical examinations before a designated physician or a physician working in a clinic that is appointed by the local board pursuant to and for the reasons prescribed in this article. An employee who fails to comply with this subsection waives all rights to disability benefits under this article.

E. The examining physician or clinic shall report the results of examinations to the local board, and the secretary of the local board shall preserve the report as a permanent record. Medical examinations conducted pursuant to this article shall be conducted by a physician and shall not be conducted or utilized for the purposes of hiring, advancement, discharge, job training or other terms, conditions and privileges of employment unrelated to the receipt of or qualification for pension benefits or service credits under the system.

F. This section does not affect or impair the right of an employer to prescribe medical or physical standards for employees or prospective employees.
A.R.S. § 38-704 — Arizona Code / Title 38 / Chapter 5 / Article 1 / Section 704
38-704 Rule making powers of state agency
Status: in_force

38-704. Rule making powers of state agency

The state agency shall adopt rules that are not inconsistent with this article and that it finds necessary or appropriate for the efficient administration of the functions with which it is charged under this article.
A.R.S. § 38-840.02 — Arizona Code / Title 38 / Chapter 5 / Article 3.2 / Section 840.02
38-840.02 EODC disability program trust fund
Status: in_force

38-840.02. EODC disability program trust fund

A. The EODC disability program trust fund is established for the purpose of paying benefits under and costs of administering the EODC disability program.  The trust fund shall be administered by the board.

B. The EODC disability program trust fund consists of all monies paid into the trust fund pursuant to this article, whether in the form of cash, securities or other assets, and all monies received from any other source. Except as provided in subsection C, paragraph 1 of this section, the EODC disability program trust fund is exempt from title 44, chapter 3.

C. Abandoned monies shall revert to the EODC disability program trust fund under the following conditions:

1. Monies in the trust fund are presumed abandoned if the system has taken the required action described in this subsection to identify and locate the apparent owner and the apparent owner as defined in section 44-301 has not communicated in writing with the system and has not otherwise indicated an interest in the monies for the three-year period following the required beginning date of distributions.

2. Before monies are presumed abandoned, the system shall attempt to contact the apparent owner in writing. If this notice is returned by the postal authority as undeliverable, then each year for three years from the date that distributions should have begun, the system shall make a good faith attempt to locate the apparent owner, including contacting any known beneficiary on record with the system, searching public databases to identify the address of the apparent owner or using the services of a third-party address verification service. If the good faith attempt to locate the apparent owner fails, monies are presumed abandoned pursuant to this subsection.

3. At the time monies are presumed abandoned pursuant to this subsection, any other property right accrued or accruing to the owner as a result of the interest in those monies, and not previously presumed abandoned, is also presumed abandoned.

4. Interest ceases to accrue on the monies on the date the monies are presumed abandoned.

D. The custody, management and investment of the EODC disability program trust fund are as prescribed by this article and article 4 of this chapter.
A.R.S. § 38-1006 — Arizona Code / Title 38 / Chapter 7 / Article 1 / Section 1006
38-1006 Authority of city or town to use county merit system council
Status: in_force

38-1006. Authority of city or town to use county merit system council

A. Any city or town so desiring may use the services of the county merit system council, in lieu of appointing a merit council of its own, by applying to the county board of supervisors and paying their proportionate share of the expenses of the council.

B. In the event a county adopts by resolution a merit system for all of its employees, then the provisions of this article as it pertains to county employees shall be administered by the county employee merit system commission.
A.R.S. § 38-722 — Arizona Code / Title 38 / Chapter 5 / Article 2 / Section 722
38-722 Abandoned monies; disposition
Status: in_force

38-722. Abandoned monies; disposition

A. Except as otherwise provided in this section, the trust fund established by section 38-712 is exempt from title 44, chapter 3.

B. Monies in the ASRS trust fund and the LTD trust fund established by section 38-797.02 are presumed abandoned if the apparent owner, as defined in section 44-301, has not communicated in writing with ASRS and has not otherwise indicated an interest in the monies for the three year period following the required beginning date of distributions pursuant to section 38-775.

C. At the time monies are presumed abandoned pursuant to subsection B of this section, any other property right accrued or accruing to the owner as a result of the interest in those monies, and not previously presumed abandoned, is also presumed abandoned.

D. Interest ceases to accrue on the monies on the date the monies are presumed abandoned.

E. Before monies are presumed abandoned, ASRS shall attempt to contact the apparent owner in writing.  If the apparent owner is a member, beginning five years before the apparent owner's required beginning date of distributions pursuant to section 38-775 and for three years after that date, ASRS shall annually send a notice to the apparent owner notifying the apparent owner of the owner's eligibility for a retirement benefit.  If the apparent owner is a beneficiary, beginning in the calendar year containing the fifth anniversary of the member’s death and for three years, ASRS shall annually send a notice to the apparent owner notifying the apparent owner of the owner’s eligibility for a survivor benefit.  If this notice is returned by the postal authority as undeliverable, ASRS shall make a good faith attempt to locate the apparent owner, including contacting any known beneficiary on record with ASRS, searching public databases to identify the address of the apparent owner or using the services of a third-party address verification service.  If the good faith attempt to locate the apparent owner fails and the base amount of the unclaimed monies is three hundred dollars or more, ASRS may use the services of a people search service.  A fee imposed by the people search service shall not be deducted from the member's benefit and these expenditures are continuously appropriated and shall be paid from the administration account established pursuant to section 38-721 in the amount deemed necessary by the board.

F. If at any time an owner, as defined in section 44-301, establishes an entitlement in the monies, ASRS shall withdraw the monies from either the ASRS trust fund or the LTD trust fund, whichever is applicable, and pay the owner the monies or benefit to which the owner is entitled pursuant to this article or article 2.1 of this chapter, including interest at a rate determined by ASRS, if applicable.
A.R.S. § 38-258 — Arizona Code / Title 38 / Chapter 2 / Article 5 / Section 258
38-258 Limitation of liability by sureties
Status: in_force

38-258. Limitation of liability by sureties

When the penal amount of any bond required to be given amounts to more than one thousand dollars, the sureties may become severally liable for portions of not less than five hundred dollars thereof, making in the aggregate at least two sureties for the whole penal sum. If any such bond becomes forfeited, action may be brought thereon against all or any number of the obligors and judgment entered against them, either jointly or severally as they are liable. The judgment shall not be entered against a surety severally bound for a greater amount than that for which he is specifically liable by the terms of the bond. Each surety is liable to contribution of his cosureties in proportion to the amount for which he is liable.
A.R.S. § 38-296 — Arizona Code / Title 38 / Chapter 2 / Article 6 / Section 296
38-296 Limitation on filing for election by incumbent of elective office
Status: in_force

38-296. Limitation on filing for election by incumbent of elective office

A. Except during the final year of the term being served, no incumbent of a salaried elective office, whether holding by election or appointment, may offer himself for nomination or election to any salaried local, state or federal office.

B. An incumbent of a salaried elected office shall be deemed to have offered himself for nomination or election to a salaried local, state or federal office on the filing of a nomination paper pursuant to section 16-311, subsection A.  An incumbent of a salaried elected office is not deemed to have offered himself for nomination or election to an office by making a formal declaration of candidacy for the office.

C. The resignation of the incumbent elective officer duly filed in writing with the officer, board or commission having jurisdiction of the office, if not accepted within ten days, shall be deemed to have become effective as of the date of filing.

D. This section shall not be construed to prohibit a person whose resignation from office has become effective from qualifying as a candidate for another office during the unexpired portion of the term affected by the resignation, nor shall it apply to any incumbent elective officer who seeks reelection to the same office or to any other public office during the final year of the term to which the person has been so elected.

E. A person violating any provision of this section is guilty of misfeasance in office, and the office held by such person shall be declared vacant.
A.R.S. § 38-344 — Arizona Code / Title 38 / Chapter 2 / Article 8 / Section 344
38-344 Procedure upon accusation of county attorney
Status: in_force

38-344. Procedure upon accusation of county attorney

The same proceedings on the same grounds as provided in this article may be had for removal of the county attorney, except that the accusation shall be delivered to a judge of the superior court of the county, who shall thereupon file the accusation with the clerk of the court and appoint a person to act as prosecuting officer in the matter.
A.R.S. § 38-852.01 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 852.01
38-852.01 Benefits not to be reduced by social security payments
Status: in_force

38-852.01. Benefits not to be reduced by social security payments

From and after the effective date of this section, all benefits now or hereafter received pursuant to this article or prior retirement systems shall not be reduced because of any payment received as benefits under the federal old age and survivors insurance system.
A.R.S. § 38-1138 — Arizona Code / Title 38 / Chapter 8 / Article 2 / Section 1138
38-1138 Polygraph examinations
Status: in_force

38-1138. Polygraph examinations

A. The results of a polygraph examination in an investigation may not be the basis for disciplinary action unless other corroborating evidence or information exists to support that disciplinary action.

B. Notwithstanding section 39-123, all data and reports from a polygraph examination of a probation officer are confidential and may be used only for employment, certification or reactivation of certification purposes or for the administrative matter for which a polygraph was administered, including other ancillary matters.  All other uses are prohibited.

C. Except for a preemployment polygraph after which an applicant was not hired or in the case of an active investigation or an appeal, the data and reports from a polygraph examination of a probation officer shall be destroyed as soon as practicable three years after the date of appointment or employment but not more than ninety calendar days after that date.
A.R.S. § 38-613 — Arizona Code / Title 38 / Chapter 4 / Article 1 / Section 613
38-613 State employee suggestion program awards; fund
Status: in_force

38-613. State employee suggestion program awards; fund

A. The director of the department of administration may adopt rules to provide an award to any state employee for any of the following:

1. An adopted procedure or idea that resulted in eliminating or reducing state expenditures or improving operations in the public interest.

2. The performance of a special act or service in the public interest.

B. The governor shall appoint a five member board that serves at the governor's pleasure for four year staggered terms to establish policy for the operation of the state employee suggestion program, review all suggestions and approve all awards with the concurrence of the head of the agency in which the cost saving is realized. The board shall elect a chairman each year.

C. The award may equal no more than ten per cent of the amount saved as a result of the suggestion.

D. A state employee suggestion program award fund is established consisting of identified measurable dollar savings transferred from appropriated and nonappropriated monies in the budget unit where the cost saving is realized, except that monies may not be transferred from the state general fund. The board shall initiate fund transfers with the concurrence of the director of the department of administration.  Except as provided in subsection G of this section, the director of the department of administration shall use monies in the state employee suggestion program award fund for the following purposes only:

1. To make awards pursuant to this section.

2. To purchase recognition materials with a cost of not to exceed fifty dollars for each award.

E. The board shall certify to the director of the department of administration the names of persons granted awards and the amounts of the awards. On certification of the names and the amounts of the awards the director of the department of administration shall draw a warrant on the state treasurer. The state treasurer shall pay the warrant from the state employee suggestion program award fund.

F. An award to a state employee shall not be considered as extra compensation.

G. The director of the department of administration may use up to six per cent of any monies transferred to the state employee suggestion program award fund for the purposes of administering, advertising and promoting the state employee suggestion program.

H. Elected officials, directors, deputy directors, managers and supervisors are not eligible for awards pursuant to this section.
A.R.S. § 38-892 — Arizona Code / Title 38 / Chapter 5 / Article 6 / Section 892
38-892 Internal revenue code section 414(h) pickup of member contributions
Status: in_force

38-892. Internal revenue code section 414(h) pickup of member contributions

Each participating employer shall pick up the contributions required of members on account of compensation paid after the effective date specified in the resolution of the board activating the provisions of this section.  The picked up contributions shall be treated as participating employer contributions for the purpose of tax treatment under the United States internal revenue code. The specified effective date shall not be before the date the retirement plan receives notification from the internal revenue service that pursuant to section 414(h) of the internal revenue code the member contributions picked up shall not be included in gross income for income tax purposes until the time that the picked up contributions are distributed by refund or pension payments. The participating employers shall pick up the member contributions from funds established and available in a retirement deduction account, which funds would otherwise have been designated as member contributions and paid to the retirement plan. Member contributions picked up pursuant to this section shall be treated for all other purposes, in the same manner and to the same extent, as member contributions made before the effective date.
A.R.S. § 38-413 — Arizona Code / Title 38 / Chapter 3 / Article 2 / Section 413
38-413 Charging excessive fees; classification
Status: in_force

38-413. Charging excessive fees; classification

A. If an officer demands and receives a higher fee than prescribed by law, or any fee not so allowed, such officer shall be liable to the party aggrieved in an amount four times the fee unlawfully demanded and received by him.

B. An officer who violates this section is guilty of a class 5 felony.
A.R.S. § 38-272 — Arizona Code / Title 38 / Chapter 2 / Article 5 / Section 272
38-272 Affidavit of plaintiff in action to recover on bond that defendant owns real property; notice to recorder
Status: in_force

38-272. Affidavit of plaintiff in action to recover on bond that defendant owns real property; notice to recorder

After an action has been commenced to recover upon any bond required to be given by a public officer, the plaintiff may file an affidavit stating either positively or on information and belief that the bond was executed by the defendant, and that the defendant has real property, designating the county or counties in which it is located. The clerk receiving the affidavit shall certify to the recorder of the county in which the real estate is located the names of the parties to the action, the name of the court in which the action is pending and the amount claimed in the complaint, with the date of the commencement of the action.
A.R.S. § 38-863.01 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 863.01
38-863.01 Pension funding policies; employers
Status: in_force

38-863.01. Pension funding policies; employers

A. Each governing body of an employer shall annually:

1. Adopt a pension funding policy for the system for employees who were hired before July 1, 2017.  The pension funding policy shall include funding objectives that address at least the following:

(a) How to maintain stability of the governing body's contributions to the system.

(b) How and when the governing body's funding requirements of the system will be met.

(c) Defining the governing body's funded ratio target under the system and the timeline for reaching the targeted funded ratio.

2. Formally accept the employer's share of the assets and liabilities under the system based on the system's actuarial valuation report.

B. The governing body shall post the pension funding policy on the governing body's public website and transmit the pension funding policy to the board.
A.R.S. § 38-870.06 — Arizona Code / Title 38 / Chapter 5 / Article 4.2 / Section 870.06
38-870.06 Disability program benefit
Status: in_force

38-870.06. Disability program benefit

A. The local board shall follow the same procedures and method as prescribed in section 38-844, for a participant who is employed by an employer as defined in section 38-842, and section 38-886, for a participant who is employed by an employer as defined in section 38-881, to determine eligibility for and continuation of a disability benefit and in computing the amount available to the participant. A participant is not eligible for a disability benefit under this article for an ordinary disability as defined in section 38-881. A participant is not eligible for a disability benefit under this article for an ordinary disability as defined in section 38-842.

B. A participant, as defined in section 38-865, paragraph 7, subdivision (a), item (i), who meets the requirements for a disability pension as prescribed in section 38-844, except for an ordinary disability, shall receive a monthly disability benefit equal to a monthly disability pension that would be provided to a public safety personnel retirement system member who is hired on or after July 1, 2017, reduced by an amount equal to the monthly annuitized value of the participant's annuity account under article 4.1 of this chapter that does not include a cost-of-living adjustment, as determined by the board. A participant, as defined in section 38-865, paragraph 7, subdivision (b), who meets the requirements for a disability pension as prescribed in section 38-886, except for an ordinary disability, shall receive a monthly disability benefit equal to a monthly disability pension that would be provided to a corrections officer retirement plan member who is hired on or after July 1, 2018, reduced by an amount equal to the monthly annuitized value of the participant's annuity account under article 4.1 of this chapter that does not include a cost-of-living adjustment, as determined by the board. In determining the monthly annuitized offset value of the participant's annuity account under article 4.1 of this chapter to be used in reducing the disability benefit paid pursuant to this section, the board shall instruct its actuary to calculate the monthly payment that would be paid to the participant assuming the participant had elected a straight life annuity commencing on the participant's date of disability, using the mortality and interest factors then used by the actuary in determining the valuation of the public safety personnel retirement system or the corrections officer retirement plan, as applicable.
A.R.S. § 38-641 — Arizona Code / Title 38 / Chapter 4 / Article 3 / Section 641
38-641 Definitions
Status: in_force

38-641. Definitions

In this article, unless the context otherwise requires:

1. "Board" means the board of trustees of the public safety personnel retirement system established by section 38-848, including its authorized employees, administrators, attorneys and agents.

2. "Employer" means this state or any political subdivision of this state, including cities, towns, fire districts and Indian tribes, that employs firefighters, peace officers, corrections officers, detention officers or other members as defined in section 38-881 and that participates in the public safety personnel retirement system established by chapter 5, article 4 of this title or the corrections officer retirement plan established by chapter 5, article 6 of this title.

3. "Peace officer" means a certified peace officer as defined in section 38-842.

4. "Program" means the public safety cancer insurance policy program established by this article.
A.R.S. § 38-291 — Arizona Code / Title 38 / Chapter 2 / Article 6 / Section 291
38-291 Vacancy defined
Status: in_force

38-291. Vacancy defined

An office shall be deemed vacant from and after the occurrence of any of the following events before the expiration of a term of office:

1. Death of the person holding the office.

2. Insanity of the person holding the office, when judicially determined.

3. Resignation of the person holding the office and the lawful acceptance of the resignation.

4. Removal from office of the person holding the office, including the removal of a board or commission member by the appointing power before the expiration of the person's term of office.

5. If the office is elective, the person holding the office ceasing to be a resident of the state, or, if the office is local, or from a legislative or congressional district, the person holding the office ceasing to be a resident of the district, county, city, town or precinct for which the person was elected, or within which the duties of the person's office are required to be discharged.

6. Absence from the state by the person holding the office, without permission of the legislature, beyond the period of three consecutive months.

7. The person holding the office ceasing to discharge the duties of office for the period of three consecutive months.

8. Conviction of the person holding the office of a felony or an offense involving a violation of the person's official duties.

9. Failure of the person elected or appointed to the office to file the person's official oath within the time prescribed by law.

10. A decision of a competent tribunal declaring void the election or appointment of the person elected or appointed to the office.

11. Failure of a person to be elected or appointed to the office.

12. A violation of section 38-296 by the person holding the office.
A.R.S. § 38-211 — Arizona Code / Title 38 / Chapter 2 / Article 2 / Section 211
38-211 Nominations by governor; consent of senate; appointment
Status: in_force

38-211. Nominations by governor; consent of senate; appointment

A. When it is provided by law that a state officer shall be appointed pursuant to this section, the governor shall nominate and with the consent of the senate appoint such officer as prescribed in this section.

B. If the term of any state office that is appointive pursuant to this section expires, begins or becomes vacant during a regular legislative session, the governor shall during such session nominate a person who meets the requirements of law for such office and shall promptly transmit the nomination to the president of the senate. If the incumbent is capable of continuing to serve until his successor has qualified, a nominee to that position shall not assume and discharge the duties of the office, pending senate confirmation.  If the incumbent is unable to continue to discharge the duties of office, the nominee shall assume and discharge the duties of the office pending senate confirmation. If the senate consents to the nomination, the governor shall then appoint the nominee to serve for the term or, in the case of a vacancy, for the unexpired term in which the vacancy occurred. If the senate rejects the nomination the nominee shall not be appointed and the governor shall promptly nominate another person who meets the requirements for such office. If the senate takes no formal action on the nomination during such legislative session, or if a nomination other than one that is required to be sent to the senate during the first week of the legislative session is not received during the session, the governor shall after the close of such legislative session appoint the nominee to serve, and the nominee shall discharge the duties of office, subject to confirmation during the next legislative session.

C. If the term of any state office that is appointive pursuant to this section expires, begins or becomes vacant during a time in which the legislature is not in regular session, the governor shall nominate a person who meets the requirements of law for such office and shall transmit the nomination to the president of the senate during the first week of the next regular session. The nominee shall assume and discharge the duties of the office until rejection of the nomination or inaction of the senate.

D. Every officer who is subject to confirmation as provided in this section and whose term is not fixed by law shall hold office at the pleasure of the appointing power.

E. In no event shall a nominee serve longer than one year after nomination without senate consent.

F. Nominations made by the governor shall be in writing, designating the residence of the nominee and the office for which nominated.

G. When the senate consents to a nomination, its secretary shall deliver a copy of the resolution of consent, certified by the president of the senate, to the secretary of state, who shall notify the governor.  When the senate rejects a nomination, its secretary shall inform the governor promptly.

H. Before nomination or appointment by the governor pursuant to this section, the prospective nominee shall submit a full set of fingerprints to the governor for the purpose of obtaining a state and federal criminal records check pursuant to section 41-1750 and Public Law 92-544.  The department of public safety may exchange this fingerprint data with the federal bureau of investigation.
A.R.S. § 38-101 — Arizona Code / Title 38 / Chapter 1 / Article 1 / Section 101
38-101 Definitions
Status: in_force

38-101. Definitions

In this title, unless the context otherwise requires:

1. "Office", "board" or "commission" means any office, board or commission of the state, or any political subdivision thereof, the salary or compensation of the incumbent or members of which is paid from a fund raised by taxation or by public revenue.

2. "Public institution" means any institution maintained and paid for from a fund raised by taxation or by public revenue.

3. "Officer" or "public officer" means the incumbent of any office, member of any board or commission, or his deputy or assistant exercising the powers and duties of the officer, other than clerks or mere employees of the officer.
A.R.S. § 38-538.01 — Arizona Code / Title 38 / Chapter 3 / Article 10 / Section 538.01
38-538.01 State and political subdivision vehicles; patterns and insignias; violation; classification
Status: in_force

38-538.01. State and political subdivision vehicles; patterns and insignias; violation; classification

A. The state highway engineer shall approve a uniform pattern for use in the designation of state motor vehicles. A state agency or department may use a distinctive insignia, other than the uniform pattern, on approval of the insignia by the governor.

B. The governing body of each political subdivision shall approve a uniform pattern for use in designating the political subdivision motor vehicles.

C. A person who knowingly places a pattern or insignia approved for use as a designation for motor vehicles of this state or a political subdivision on a motor vehicle not owned or leased by this state or a political subdivision is guilty of a class 2 misdemeanor.
A.R.S. § 38-858 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 858
38-858 Credit for military service
Status: in_force

38-858. Credit for military service

A. Except as provided in subsection B of this section, a member of the system who has at least five years of service with the system may receive credited service for periods of active military service performed before employment with the member's current employer if:

1. The member was honorably separated from the military service.

2. The period of military service for which the member receives credited service does not exceed sixty months.

3. The period of military service for which the member receives credited service is not on account with any other retirement system, except as provided by 10 United States Code section 12736 or except if the member is not yet eligible for a military retirement benefit.

4. The member pays the cost to purchase the prior active military service. The cost is the amount necessary to equal the increase in the actuarial present value of projected benefits resulting from the additional credited service.

5. The amount of benefits purchased pursuant to this subsection is subject to limits established by section 415 of the internal revenue code.

B. A member who became a member of the system before January 1, 2012 may receive credited service for eligible prior active military service as specified in subsection A of this section without having to have accrued any minimum amount of credited service in the system.

C. An active member of the system who volunteers or is ordered to perform military service may receive credited service for not more than sixty months of military service as provided by the uniformed services employment and reemployment rights act of 1994 (38 United States Code part III, chapter 43).  The member's employer shall make employer contributions and the member shall make the member contributions pursuant to subsection D of this section if the member meets the following requirements:

1. Was an active member of the system on the day before the member began military service.

2. Entered into and served in the armed forces of the United States or any military reserve unit of any branch of the armed forces of the United States or is a member of the national guard.

3. Complies with the notice and return to work provisions of 38 United States Code section 4312.

D. Contributions made pursuant to subsection C of this section shall be for the period of time beginning on the date the member began military service and ending on the later of one of the following dates:

1. The date the member is separated from military service.

2. The date the member is released from service-related hospitalization or two years after initiation of service-related hospitalization, whichever date is earlier.

3. The date the member dies as a result of or during military service.

E. Notwithstanding any other law, on payment of the contributions made pursuant to subsection C of this section, the member shall be credited with service for retirement purposes for the period of military service of not more than sixty months. The member shall submit a copy of the military discharge certificate (DD-256A) and a copy of the military service record (DD-214) or its equivalent with the member's application when applying for credited service corresponding to the period of military service.

F. The employer and the member shall make contributions pursuant to subsection C of this section as follows:

1. Contributions shall be based on the compensation that the member would have received but for the period that the member was ordered into active military service.

2. If the employer cannot reasonably determine the member's rate of compensation for the period that the member was ordered into military service, contributions shall be based on the member's average rate of compensation during the twelve-month period immediately preceding the period of military service.

3. If a member has been employed less than twelve months before being ordered into military service, contributions shall be based on the member's compensation being earned immediately preceding the period of military service.

4. The member has up to three times the length of military service, not to exceed sixty months, to make the member contributions. Once the member has made the member contributions or on receipt of the member's death certificate, the employer shall make the employer contributions in a lump sum.  Death benefits shall be calculated as prescribed by law.

5. If the member's employer pays military differential wage pay to members serving in the military, contributions shall be paid to the system pursuant to section 38-843 for any military differential wage pay paid to the member while performing military service.

G. In computing the length of total credited service of a member for the purpose of determining retirement benefits or eligibility, the period of military service, as prescribed by this section, shall be included.

H. If a member performs military service due to a presidential call-up, not to exceed forty-eight months, the employer shall make the employer and member contributions computed pursuant to subsection F of this section on the member's return and in compliance with subsection C of this section.

I. In addition to, but not in duplication of, the provisions of subsection C of this section, beginning December 12, 1994 contributions, benefits and credited service provided pursuant to this section shall be provided pursuant to section 414(u) of the internal revenue code, and this section shall be interpreted in a manner consistent with that internal revenue code section.

J. For plan years beginning after December 31, 2008, a member who does not currently perform services for an employer by reason of qualified military service as defined in section 414(u)(5) of the internal revenue code is not considered having a severance from employment during that qualified military service. Any payments by the employer to the member during the qualified military service shall be considered compensation to the extent those payments do not exceed the amounts the member would have received if the member had continued to perform services for the employer rather than entering qualified military service.

K. For deaths occurring from and after December 31, 2006, in the case of a member who dies while performing qualified military service as defined in section 414(u)(5) of the internal revenue code, the survivors of the member are entitled to any benefits, other than benefit accruals relating to the period of qualified military service, provided under the system as though the member resumed and then terminated employment on account of death.
A.R.S. § 38-232 — Arizona Code / Title 38 / Chapter 2 / Article 4 / Section 232
38-232 Time of oath
Status: in_force

38-232. Time of oath

When a different time is not prescribed, the oath of office shall be taken and subscribed as follows:

1. If appointed, at or before commencement of the term of office.

2. If elected, at any time after receiving the officer's certificate of election, and at or before commencement of the term of office.
A.R.S. § 38-844.08 — Arizona Code / Title 38 / Chapter 5 / Article 4 / Section 844.08
38-844.08 Payment of deferred retirement option plan benefits
Status: in_force

38-844.08. Payment of deferred retirement option plan benefits

A. On the simultaneous termination of deferred retirement option plan participation and employment, a member is entitled to receive all of the following:

1. The monthly retirement allowance in the amount determined pursuant to section 38-845 that was credited monthly to the member's deferred retirement option plan participation account at the date of termination of deferred retirement option plan participation.

2. All amounts credited to the member's deferred retirement option plan participation account on the effective date of termination of deferred retirement option plan participation.

B. The form of payment shall be a lump sum distribution that is directly deposited in an account created for the member in the public safety personnel defined contribution retirement plan established by article 4.1 of this chapter.  On deposit of the lump sum payment, the member shall immediately be able to either withdraw all or any portion of the lump sum deposit or directly transfer all or any portion of the lump sum deposit to an eligible retirement plan as required by section 401(a)(31) of the internal revenue code.
A.R.S. § 38-1003 — Arizona Code / Title 38 / Chapter 7 / Article 1 / Section 1003
38-1003 Powers and duties of council
Status: in_force

38-1003. Powers and duties of council

The council, pursuant to recognized merit system principles of public employment, shall from time to time:

1. On a recommendation from the department head, classify or reclassify the specified positions occupied by law enforcement officers within the branch of government employing the officer and recommend schedules of salary and other compensation payable for the officer classification.

2.  Review standards and qualifications of all positions that are classified and recommend any changes to the human resources director.

3. In consultation with the department head, provide a plan for fair and impartial selection, appointment, retention and separation or removal from service by resignation or dismissal of all classified law enforcement officers. Paragraph 4 of this section applies to appointments.

4. Provide a plan with recommendations for the promotion of law enforcement officers that shall give appropriate consideration to qualifications, record of performance, seniority and conduct within the field of law enforcement. Vacancies within a department shall be filled whenever possible by promotion within a department and shall be on the basis of competitive examination. If a vacancy occurs within a department, the council, on request, shall certify to the head of the department the names of officers in the order of the officer's relative excellence in the competitive examination from which certified list the appointment or promotion may be made.

5. Adopt rules necessary for the orderly administration of this article.

6. Hear and review appeals from any order of the department head in connection with suspension, demotion or dismissal of a classified law enforcement officer. If the order of the department head was for a suspension greater than sixteen hours, demotion or dismissal and the council exonerates the officer, the council may award, in whole or in part, the reasonable costs and attorney fees that the law enforcement officer incurred or were incurred on behalf of the law enforcement officer in connection with the appeal. The award of attorney fees by the council shall not exceed ten thousand dollars. An award of attorney fees does not apply if either of the following applies:

(a) The order of the department head was not for disciplinary purposes but was for administrative purposes such as a reduction in force.

(b) The disciplinary action related to off-duty activities unrelated to the required duties of the law enforcement officer. The council's determination shall be final except on appeal as provided in section 38-1004. If the department head appeals the decision of the council, the council's award of any costs or attorney fees to an officer shall be stayed pending the conclusion of the appeal.  If the department head's decision is upheld on appeal, the award of costs or attorney fees in favor of the officer shall be reversed.
A.R.S. § 38-618 — Arizona Code / Title 38 / Chapter 4 / Article 1 / Section 618
38-618 Performance based incentives program
Status: in_force

38-618. Performance based incentives program

A. The director of the department of administration and the president of the Arizona board of regents may establish a performance based incentives program to promote efficiency and effectiveness in state government.  The director of the department of administration shall identify state agencies and the president of the Arizona board of regents shall identify state universities in which to implement the program.

B. The director of the department of administration and the president of the Arizona board of regents shall cooperate with the directors of agencies and the presidents of the identified universities, respectively, to:

1. Develop a performance based appraisal system of state employee performance that is based on agency or university goals and objectives, as identified and approved by the agency's or university's employees, supervisors, director or president.

2. Authorize all agency directors and university presidents participating in the program to recognize the performance of state employees, who are under their authority, based on the outcome of the appraisal conducted pursuant to paragraph 1 of this subsection.

C. The director of the department of administration shall cooperate with the director of the department of public safety, the superintendent of public instruction and the superintendent of the state schools for the deaf and the blind to implement the performance based incentives program. The president of the Arizona board of regents shall cooperate with the president of each university under the jurisdiction of the Arizona board of regents to implement the performance based incentives program.

D. Notwithstanding section 35-174, subsection B, the director of the department of administration, the director of the department of public safety, the president of the Arizona board of regents, the superintendent of public instruction and the superintendent of the state schools for the deaf and the blind may authorize the expenditure of up to eighty per cent of excess vacancy savings to recognize employees of state agencies and state universities who are under their respective authority and who are participating in the performance based incentives program. In addition to excess vacancy savings, the participating agency or university may use monies appropriated from the state general fund or other sources, including federal enhanced funding an agency or university receives for quality initiatives. Federal enhanced monies do not revert to the state general fund but remain in a separate agency or university account at the end of the fiscal year for use by the agency or university in accordance with the terms and conditions imposed by the federal funding source.  For the purposes of this subsection, "excess vacancy savings" means the same as "vacancy saving" as defined in section 35-174, subsection A, except that "excess vacancy savings" are any vacancy savings that are over and above the amount eliminated from an agency's budget as the result of the applied vacancy factor reported in the annual appropriations report prepared by the joint legislative budget committee.

E. As provided for in subsection D of this section, any incentive or performance compensation using monies from excess vacancy savings or other fund sources including state general fund appropriations shall not be added to an agency's salary base.

F. Recognition of state employees may be in the form of increase in compensation for future services, but the increase may not exceed two hundred seventy-five dollars per month per employee.

G. An approved program shall notify the director of the department of administration or the president of the Arizona board of regents when it makes any substantive changes to the approved program.
A.R.S. § 38-296.01 — Arizona Code / Title 38 / Chapter 2 / Article 6 / Section 296.01
38-296.01 Limitation on running for multiple offices
Status: in_force

38-296.01. Limitation on running for multiple offices

A. A person is not eligible to be a candidate for nomination or election to more than one public office if the elections for those offices are held on the same day and if the person would be prohibited from serving in the offices simultaneously.

B. A person is not eligible to be a candidate for nomination or election to more than one federal office simultaneously. This ineligibility does not apply to candidates for nomination or election to the offices of president and vice president. Candidates for nomination or election to the offices of president or vice president may be candidates for nomination or election to one additional federal office simultaneously.

C. A person is not eligible to be a candidate for nomination or election to and is not eligible to serve simultaneously in more than one statewide office.

D. A person is not eligible to be a candidate for nomination or election to and is not eligible to serve simultaneously in more than one legislative office.

E. A person is not eligible to be a candidate for nomination or election to and is not eligible to serve simultaneously in both a legislative office and a statewide office.

F. A person is not eligible to be a candidate for nomination or election to and is not eligible to serve simultaneously on more than one school district governing board, except that a member of a governing board may be a candidate for nomination or election for any other governing board if the member is serving in the last year of a term of office.
A.R.S. § 38-810.05 — Arizona Code / Title 38 / Chapter 5 / Article 3 / Section 810.05
38-810.05 Required distributions
Status: in_force

38-810.05. Required distributions

All distributions required under this article shall be determined and made pursuant to section 401(a)(9) of the internal revenue code and the regulations that are issued under that section by the United States secretary of the treasury.
A.R.S. § 38-412 — Arizona Code / Title 38 / Chapter 3 / Article 2 / Section 412
38-412 Posting schedule of fees
Status: in_force

38-412. Posting schedule of fees

Recorders, clerks of the superior courts, sheriffs, justices of the peace, constables and notaries public shall keep posted at all times in a conspicuous place in their respective offices a complete list of the fees they are allowed to charge.