The 93rd General Assembly
Joint Public Retirement & Social Security Committee (JRC)
The first Joint Retirement Committee (JRC) meeting was held on Monday, January 25th. The committee heard briefings by the retirement systems' directors and legislative actuary. The next JRC meeting will be held on Monday, February 1, 2021. No bills affecting ATRS will be presented at the February 1st meeting.
ATRS has a package of six (6) minor correction and cleanup bills this session. ATRS is grateful and appreciative for the members of the General Assembly that agreed to sponsor ATRS package bills. A special thank you goes out to our sponsors: Representative Les Warren, Representative John Maddox, Representative Brian S. Evans, Representative Stu Smith, and Senator Lance Eads. ATRS would also like to thank Senator Kim Hammer and Representative Les Warren for their leadership and hard work in service as the Co-Chairs for the Joint Public Retirement & Social Security Committee.
SB174 by Senator Larry Teague has generated the most questions this past week. The first thing to point out regarding SB174 is that eligibility requirements for full retirement (28 years of service or age 60) are NOT being changed in this bill. This bill eliminates the one month separation period from employment after retirement when a member has 38 years of service. If the bill passes, all retirees will have to separate from employment for 6 months before becoming reemployed unless they meet the requirements of the "normal retirement age". Currently the "normal retirement age" is simply age 65. This bill changes the definition of the "normal retirement age" to be age 65 OR the "Rule of 100". The "Rule of 100" is satisfied when a member is at least age 60 and has service and age that total 100 or more (for example, a member aged 60 with 40 years of service). A member that has attained the "normal retirement age" is able to draw full retirement benefits and remain employed without separating from employment. This bill would not take effect until September 1, 2021. Also, there is a phase-in "Rule of 99" for the first fiscal year (FY2022). Retirees that “return-to-work” for an ATRS employer do not receive any additional retirement benefits for their service, but ATRS does receive employer contributions that go to pay down the unfunded liability for the system. ATRS is supporting this bill, but we do have to wait until the actuaries perform a cost study to see if the system can afford it.
Here is the link to the full procedures for public access to the committee meetings: Committee Procedures and Public Access for 2021 Regular Session
The Joint Retirement Committee (JRC) meeting will be video streamed over the Internet. Just visit the Arkansas Legislative Meetings and Events web page on Monday at 8:30 a.m. Look for the item “PUBLIC RETIREMENT & SOCIAL SECURITY PROGRAMS-JOINT” and click on the “video camera” icon. The agenda for the meeting will be posted here at least 18 hours before the start of the meeting. No bills affecting ATRS will be presented at the February 1st meeting.
ATRS will try to keep its members informed about the bills that impact ATRS, its members and employers. For more information regarding the ATRS Bill Package and Bills that may Impact ATRS visit the Legislation page on our website.
Stay in Touch with ATRS and View YOUR Account Information
The ATRS website allows members to have direct access to specific member account information. Now, approximately 23,500 members have direct account access to individualized account information. Here is the link to the instructions to sign up: www.artrs.gov/registration.
You can also sign up to obtain these executive director updates through your private email address. Updates are made throughout the year such as at retirement season and other times when information needs to be shared. Now, over 25,800 people have signed up to receive this executive director update by direct email delivery. It is always a great pleasure for ATRS staff to learn of more ways to provide information to ATRS members, employers, beneficiaries, government officials, and the public. The ATRS Board is committed to providing a system that is member friendly and transparent. Remember that ATRS is here to serve you.
Best regards,
Clint Rhoden
Executive Director ATRS
Office: (501) 588-4367
Mobile: (501) 291-1623
clintr@artrs.gov