Arkansas Administrative Code › Agency 088 - Arkansas Teacher Retirement System › Rule 088.00.21-004 - ATRS Rule 10 T-Drop and Return to Service

Current through Register Vol. 49, No. 6, June, 2024
ATRS RULE 10
RETURN TO SERVICE AND TEACHER DEFERRED RETIREMENT OPTION
			 PLAN
Arkansas Code §§
							24-7-502,
			 24-7-708,
			 and
			 24-7-1301
			 et seq.
I.
Definitions
a. "Fiscal year" means the operating year for
		  the State of Arkansas that begins on July 1 of each calendar year and ends on
		  June 30 of the next calendar year;
b. "Plan participant" means a member who
		  elects to participate in the Teacher Deferred Retirement Option Plan (T-DROP)
		  under Arkansas Code §
								24-7-1301
		  et seq.;
c. "Plan deposit" means a
		  deposit made to each plan participant's T-DROP account pursuant to Arkansas
		  Code §
								24-7-1306;
d. "Plan interest" means one (1) or more
		  interest rates per annum that are adopted by the Board of Trustees of the
		  Arkansas Teacher Retirement System (Board) by the end of the first quarter of
		  the fiscal year in which the interest rate shall apply in order for the
		  appropriate interest to be credited to each plan participant's T-DROP account
		  in subsequent years following the Board's adoption of the interest
		  rate;
e. "Post 10-year T-DROP
		  interest" means a rate per annum that is compounded annually and adopted by the
		  Board by the end of the first quarter of the fiscal year in which the interest
		  rate shall apply in order for the interest to be credited on June 30 to the
		  T-DROP account of a plan participant who has not retired and whose
		  participation in T-DROP has ended;
f. "Quarter" means one-fourth (1/4) of a
		  fiscal year as follows:
1. 1st Quarter: July 1
		  through September 30;
2. 2nd
		  Quarter: October 1 through December 31;
3. 3rd Quarter January 1 through March 31;
		  and
4. 4th Quarter: April 1 through
		  June 30;
g. "Retiree"
		  means a member receiving a retirement annuity from the Arkansas Teacher
		  Retirement System (ATRS);
h.
		  "Salary" means the same as defined in Arkansas Code §
								24-7-202
		  and does not include nonmandatory compensation that is taxable by the
		  IRS;
i. "T-DROP Cash Balance
		  Account" means a financial account established for a plan participant who
		  elects to defer distribution of his or her T-DROP account balance at the time
		  that he or she is eligible to receive a lump-sum distribution of the T-DROP
		  account balance;
j. "T-DROP Cash
		  Balance Account interest" means the interest rate per annum applicable to a
		  plan participant's T-DROP Cash Balance Account and compounded monthly into a
		  plan participant's T-DROP Cash Balance Account; and
k. "Uniformed Services of the United States"
		  means service in the:
1. United States Armed
		  Forces;
2. Army National
		  Guard;
3. Air National Guard when
		  engaged in active duty for training, state active duty, inactive duty training,
		  or full-time National Guard duty;
4. United States Commissioned Corps of the
		  Public Health Service; and
5. Any
		  other category of persons designated by the President of the United States in
		  time of war or emergency.