This bill amends various sections of the Oklahoma Statutes concerning public retirement systems, particularly the Oklahoma Pension Legislation Actuarial Analysis Act and the Oklahoma Public Employees Retirement System (OPERS). A significant change is the termination of the defined contribution retirement plan, allowing participants to convert their account balances into service credit in the defined benefit plan. Employee contributions to the defined benefit plan will begin on November 1, 2025, with corresponding adjustments to employer contributions. Members must make an irrevocable election regarding their account balances within 120 days of the bill's effective date. Additionally, the bill stipulates that the provisions of the Retirement Freedom Act will cease by November 1, 2026, or upon final distribution of plan account balances, ensuring members are fully vested in their account balances by November 1, 2025.

The bill also clarifies definitions and eligibility criteria for members and participating employers within OPERS, introducing terms such as "Credited service," "Dependent," and "Eligible employer." It outlines the participation conditions for employees from various public entities and establishes guidelines for calculating "Final average compensation" and "Normal retirement date." Furthermore, it modifies retirement eligibility for public safety officers and elected officials, specifying service requirements and survivor benefits. The bill aims to streamline the retirement process, ensuring fair distribution of benefits based on service length and employment status, while also amending provisions related to the Oklahoma State Employees Deferred Savings Incentive Plan and deleting the requirement for employer contributions for certain employees.

Statutes affected:
Introduced: 62-3103, 74-902