Arkansas Administrative Code › Agency 088 - Arkansas Teacher Retirement System › Rule 088.00.94-001 - Rules and Regulations

Current through Register Vol. 49, No. 6, June, 2024
GENERAL PHILOSOPHY AND BELIEFS OF THE BOARD OF TRUSTEES OF THE
			 TEACHER RETIREMENT SYSTEM
1. The Board
		  of Trustees is dedicated to the proposition that its paramount purpose is that
		  of providing an adequate and equitable retirement plan for the members of the
		  teaching profession; to protect this group in the event total and permanent
		  disability causes them to become physically or mentally unable to continue
		  employment in their profession; and to provide in part for their dependents in
		  case of death before retirement.
2.
		  We believe it is the duty of the board to fully support the educational program
		  of the state and to participate in its activities.
3. We recognize the problems relating to
		  reaching retirement age and offer counseling and information with reference to
		  the personal account of the individual member.
4. The Board is charged with the
		  responsibility of investing the funds of the System. The two more important
		  factors in the investment policies are safety and yield. The yield is of first
		  importance, provided such investments contain the necessary safeguards as are
		  provided by law.
5. It is the duty
		  of the Board to be fully informed of its financial liabilities not only to the
		  retirants and beneficiaries on roll but also to recognize the vested rights of
		  the active members of the teaching profession; to make these rights and
		  liabilities know to the members of the state legislature, other state officials
		  and the professional organizations who deal with the general educational
		  programs.
6. We believe it is our
		  responsibility to make known to all citizens interested in the total
		  educational program the manner in which the funds of the system are invested
		  and disbursed and that the control and budgeting of the funds be fully
		  reported.
7. We feel we should
		  exert every effort to aid in federal legislation that affects the welfare of
		  the retired member, particularly in regard to equitable tax credit.
8. We believe that every effort should be
		  made to be cognizant of the problems and solutions of such problems in the
		  other state pension plans on the national and regional level and to use their
		  experience in helping to solve such similar situations that face or will face
		  the Arkansas system.
ARKANSAS TEACHER RETIREMENT SYSTEM COMPOSITION
AUTHORITY
The authority and responsibility for the administration,
			 management and control of the Retirement System, and for the construing and
			 carrying out the provisions of the Plan is vested in the Board of Trustees by
			 Act 427 of 1973.
MEMBERSHIP
Section 4 of Act 427 makes membership in the Teacher Retirement
			 System a condition of employment in a position in the state. Membership in the
			 Retirement System shall be an integral part of the contract or agreement
			 entered into by a member and his Board or employing agency. As a condition of
			 his employment in Arkansas teaching service, each member shall be deemed to
			 consent and agree to abide by the rules and regulations from time to time
			 adopted by the Board of Trustees to govern the administration and operation of
			 the Retirement System.
ADMINISTRATION
The Board of Trustees shall appoint an Executive Director. The
			 Executive Director shall be the administrative officer of the Retirement
			 System, and he shall be directly responsible to the Board of Trustees. The
			 Board of Trustees may, by resolution duly adopted, delegate to the Executive
			 Director any of the powers and duties vested in or imposed by law,
Within such limitations as may be contained in legislative
			 appropriations therefore, the Executive Director, subject to approval of the
			 Board of Trustees, may employ, and fix the compensation of such secretarial,
			 clerical, professional and other personnel as may be required for the proper
			 administration of the System.
BOAED OF TRUSTEES
COMPOSITION
Section 3 of Act 427 of 1973, as amended, [A.C.A. 24-7-301]
			 provides that the general administration and responsibility for the proper
			 operation of the System and for making effective the provisions of the Teacher
			 Retirement law are vested in the Board of Trustees of 12 persons. The State
			 Bank Commissioner, the State Treasurer, and the State Commissioner of Education
			 shall be the ex officio trustees. Six members shall be elected member trustees;
			 provided, each such member shall have at least 5 years of credited . service in
			 force and be an active member at the beginning of his term of office. One
			 member trustee shall be elected from each of the 4 congressional districts of
			 the State by the active members employed in such congressional district, and
			 such trustee must be a resident of such district. One person other than a
			 Caucasian shall be elected by the Arkansas Education Association. One classroom
			 teacher shall be elected member trustee by the members of Classroom Teachers of
			 the Arkansas Education Association. The member trustees shall be elected in
			 accordance with such rules and regulations as the Board shall from time to time
			 adopt to govern such elections. Three retirants shall be elected retirant
			 trustees by the Arkansas Retired Teachers Association, provided such persons
			 are retirants at the beginning of their terms of office. The retirant trustees
			 shall be elected in accordance with such rules and regulations as the Board
			 shall from time to time adopt to govern such elections.
TERM OF OFFICE
The term of office of each member trustee shall be 5 years. The
			 term of office of each retirant trustee shall be 3 years. Each trustee shall
			 continue to serve as trustee until his successor is elected and has
			 qualified.
In the event any member trustee fails to attend 3 consecutive
			 meetings of the Board unless in each case excused for cause by the remaining
			 trustees attending such meeting or meetings, he shall be considered to have
			 resigned from the Board and the Board shall by resolution declare his office of
			 trustee vacated. If a vacancy occurs in the office of member or retirant
			 trustee, the remaining trustees shall fill the vacancy for the remainder of the
			 unexpired term.
The board shall elect a Chairman and Vice Chairman from its own
			 membership each year at its first regular quarterly meeting following the
			 election of an active member from a congressional district. In years in which
			 there is no board election by congressional district, the Board shall hold its
			 election at the time it would if such election of a Board member had been held.
			 In the event a vacancy of Chairman or Vice Chairman occurs for any reason other
			 than completion of a term, the Board shall fill said vacancy by election for
			 the remainder of the unexpired terra at its next regular meeting.
ELECTION PROCEDURES FOR MEMBER TRUSTEES
Each year in which the five (5) year term of a member trustee
			 expires, the position shall be filled either by election or re-election by use
			 of the following procedures:
1. During
		  the month of June of each year in which a member trustee is to be elected from
		  a congressional district, a notice of such election shall be submitted to the
		  Arkansas Educator, the Arkansas Association of Educational Administrator's
		  Newsletter and the Department of Education's Connect-Ed and Education Update
		  for publication. This announcement shall include the number of the
		  congressional district in which an election is to be held, a listing of
		  counties in such district, the name of the incumbent trustee, the procedure for
		  nominating a candidate and an announcement that nominating petitions may be
		  obtained from the Teacher Retirement System.
2. Nomination for election shall be upon
		  petition signed by not less than twenty-five active members of the Retirement
		  System from the congressional district from which such person is seeking
		  election. Such petitions must also have the social security number of each
		  signer. Nominating petitions must be filed with the Executive Director of the
		  Teacher Retirement System not later than September 15 of the year in which the
		  member trustee's term expires.
3.
		  Should only one candidate file a timely and verified petition, that person
		  shall be declared by the Board of Trustees as elected to fill the vacant member
		  trustee position, and no ballots will be mailed to the active
		  members.
4. A firm of certified
		  public accountants will be retained by the Board to count the votes and certify
		  the results of the election.
5.
		  Ballots will be mailed directly from the Retirement System with postage for
		  mailing ballots to members and for members returning them to the System to be
		  paid by the System.
6. A mailing
		  list of active members will be established on the state computer from teacher
		  rosters obtained from school districts. This list will be updated each year
		  before annual statements of members' accounts are mailed in September and
		  ballots are mailed in October.
7.
		  Instructions to voters and a return envelope with the word "Ballot" stamped on
		  it will be mailed to each eligible voter. In cooperation with the accounting
		  firm referred to in number 3, the Board will decide whether these return
		  envelopes will be addressed directly to the accounting firm or addressed to the
		  Teacher Retirement System to be delivered to the accounting firm.
8. The instructions will say that ballots are
		  not to be copied. They will be printed on colored paper, and the color will be
		  changed for each election.
9.
		  Voters' social security numbers will not be requested, and no space will be
		  provided for them on the ballot.
10. One list of eligible voters receiving
		  ballots will be furnished to each candidate.
11. The election schedule will be as follows:
Deadline for Nomination - September 15
Ballots to be mailed to voters - October 1
Deadline for ballots to be returned - October 20
Firm of certified accountants counts votes and certifies results
			 - October 31
If no candidate receives a majority of votes, a runoff will be
			 held between the two candidates receiving the highest number of votes. The
			 schedule for the runoff will be as follows:
Ballots will be mailed - November 10
Deadline for ballots to be returned - November 23
Firm of certified accountants counts votes and certifies results
			 - November 30
If one of the above fixed dates is on a weekend or holiday, the
			 above procedures will occur on the next regular work day following such weekend
			 or holiday.
12. If a
		  candidate receives a majority of the votes cast on the first ballot, he/she
		  will be considered qualified on October 31 and will assume office on November
		  1. If a runoff is necessary, the candidate receiving the majority of the votes
		  cast will be considered qualified on November 30 and will assume office on
		  December 1.
ELECTION PROCEDURES FOR RETIRANT TRUSTEES BY THE ARKANSAS RETIRED
			 TEACHERS ASSOCIATION (ARTA)
There are three (3) retirant members of the Board of Trustees of
			 the Arkansas Teacher Retirement System. Each is elected for a term of three (3)
			 years and the terns are so staggered as to require that one member be elected
			 annually.
The procedure followed in this election is as follows:
1. The President of the Arkansas Retired
		  Teachers Association appoints a committee of three (3) of its members in early
		  March of each year for the express purpose of selecting a nominee or nominees
		  for the position of Retirant Trustee on the TRS Board. The committee is
		  responsible for obtaining permission from the nominee after it has been
		  determined by the committee that the nominee chosen is a member in good
		  standing of the Arkansas Retired Teachers Association and draws a regular
		  benefit check from the Arkansas Teacher Retirement System.
2. Any retiree who is a member in good
		  standing of the ARTA is eligible to be a nominee for the position of retirant
		  trustee on the Teacher Retirement board. To become a qualified candidate, the
		  retiree should submit a petition signed by 25 persons who are members of the
		  Arkansas Retired Teachers Association. The petition will be submitted to the
		  ARTA office by August 1.
3. The
		  Teacher Retirement System is to be notified of the name and address of each
		  nominee by September 15.
4. The
		  Teacher Retirement System assumes the responsibility of preparing the
		  ballots.
5. All persons on the
		  retired rolls of the Teacher Retirement System have the opportunity, during the
		  month of September, to study the qualifications of the candidate or candidates.
		  The August issue of ARTA's quarterly publication INTERLINK, carries a
		  photograph and a biographical sketch of each candidate.
6. The election schedule will be as follows:
Deadline for Nomination - August 1
Ballots to be mailed to retirants with September check
Deadline for ballots to be returned - October 15
Certification of results - October 20
If a runoff is necessary the schedule will be;
Runoff ballots to be mailed with October check
Deadline for ballots to be returned - November 15
Certification of results - November 20
7. The President of the ARTA names three (3)
		  tellers who, with the assistance of volunteer workers, count the ballots and
		  certify the results to the Teacher Retirement System. If one nominee does not
		  receive a majority of the votes, a runoff election will be held. The
		  above-described appointed tellers will count the runoff ballots and certify the
		  results to the Teacher Retirement System.
8. If a candidate receives a majority of the
		  votes cast on the first ballot, he/she will be considered qualified on October
		  31 and will assume office on November 1. If a runoff is necessary, the
		  candidate receiving the majority of the votes cast will be considered qualified
		  on November 30 and will assume office on December 1.
ELECTION PROCEDURES FOR MEMBER TRUSTEES BY THE ARKANSAS EDUCATION
			 ASSOCIATION (AEA)
Nominating Procedures
A.
		  Any local affiliated association or 20 members by petition may nominate
		  candidates for any of the offices of the Association, Executive Committee
		  members, Members-at-Large on the Board of Directors, District Director
		  positions. Alternate District Director positions, NEA Director, Alternate NEA
		  Director for Arkansas, NEA Delegates, and Member Trustee positions on the
		  Arkansas Teacher Retirement Board allocated by law to AEA.
B. Nomination forms, petition forms,
		  information on positions to be filled and procedural instructions for the
		  positions named in Section A shall be mailed to the president of each local
		  affiliated association by the third Friday in October. A nomination form from
		  AEA for AEA offices to be filled should appear in an official publication of
		  the Association at least two weeks prior to the deadline for nominating.
		  Nominations must be received by the office of the AEA President by the close of
		  business on the third Friday in December.
C. The name of each nominee and a brief
		  position statement and biographical sketch, if one is submitted, shall be
		  published at least two weeks prior to the applicable election in an official
		  publication of the Association.
D.
		  In any position for which an election is to be held and only one candidate is
		  legally nominated, that candidate shall be declared elected without the
		  necessity of printing ballots and going through the formality of an
		  election.
E. a person may hold only
		  one AEA state elective office at a time. This includes President, Vice
		  President, Secretary-Treasurer, NEA Director, Executive Committee and Board of
		  Directors.
Election Procedures for AEA Offices
Members-at-Large on the Board of Directors, District Directors
			 Positions and Alternate District Director Positions, NEA Delegates, Member
			 Trustee Positions on the Arkansas Teacher Retirement Board
A. Dates
1.
		  In the event more than two persons are nominated for any position, a 7-day
		  Nominating Primary election shall be held during the period beginning with the
		  Monday following the third Sunday in February and ending with the Friday
		  following the third Sunday in February. Any candidate receiving a majority of
		  all the votes cast in the Nominating Primary shall be certified as having been
		  elected. If no majority is received, the State Election Committee shall certify
		  the names of the two highest (or in the case of a tie for second place, the
		  three highest) for the Final Election. NEA Delegates shall be elected by a
		  plurality vote during this Nominating Primary election period,
2. The Final Election of officers, members of
		  the Board of Directors and alternate members to the Board of Directors shall be
		  held during a 7-day period beginning with the Monday following the third Sunday
		  in April and ending with the Friday following the third Sunday in April. Prior
		  to the Final Election, the names of the nominees and their pictures shall be
		  published in an official publication of the Association.