This bill amends Minnesota Statutes 2024, specifically section 356.215, to modify the method for amortizing unfunded liabilities in retirement plans and introduces a new definition for "standards for actuarial work." Key changes include the deletion of the definition for "pension benefit obligation" and the insertion of the new definition for "standards for actuarial work," which aligns with existing statutory requirements. The bill also specifies that actuarial valuations must adhere to the updated definitions and standards, ensuring that all actuarial assumptions and calculations are consistent with the latest guidelines.

Additionally, the bill outlines new amortization periods for various changes affecting pension plans, such as experience gains or losses and changes in assumptions or benefits. It establishes specific timeframes for amortizing unfunded actuarial accrued liabilities, including a requirement for the legislators' retirement plan to be calculated on a level dollar basis with a one-year amortization period. The effective dates for these changes are set to take effect the day following final enactment, with some provisions specifically effective beginning with the July 1, 2025, actuarial valuations.

Statutes affected:
Introduction: 356.215