The bill amends existing laws regarding employer contribution rates in the teachers' retirement system and the Public Employees' Retirement System of Alaska. Specifically, it establishes that the annual employer contribution rate must be sufficient to cover three key components: (1) the employer's normal cost, (2) an amount calculated based on a certified rate for liquidating past service liability, and (3) the employer contributions required under specified sections of the law. These amendments are made to AS 14.25.070(d) and AS 39.35.255(d).

The bill emphasizes the importance of ensuring that employer contributions are adequate to meet the financial obligations of the retirement systems. It is designed to enhance the stability and sustainability of these systems by mandating that contributions not fall below a certain threshold. The act is set to take effect immediately upon passage.

Statutes affected:
SB0081A, AM SB 81, introduced 01/31/2025: 14.25.070, 37.10.220, 14.25.350, 39.30.370, 39.35.255