The bill amends the Oklahoma Pension Legislation Actuarial Analysis Act by introducing new definitions and modifying existing terms related to retirement bills. It specifically directs the Board of Trustees of the Oklahoma Teachers' Retirement System to grant annual retirement benefit increases based on the Consumer Price Index for urban wage earners and clerical workers (CPI-W), contingent upon the retirement system's funded ratio being at least eighty percent (80%) after the increase. The maximum allowable increase is capped at two percent (2%) of the gross annual retirement benefit. Additionally, the bill mandates the System to provide an annual report to legislative leaders and requires the Legislative Office of Fiscal Transparency to conduct a review every five years to ensure compliance with these provisions.

The bill also includes several insertions and deletions to clarify the definitions of terms such as "nonfiscal retirement bill" and "retirement bill," and it establishes conditions under which retirement benefit increases can be authorized. Notably, it introduces a new section that outlines the criteria for granting retirement benefit increases, emphasizing the importance of maintaining a healthy funded ratio for the retirement system. The bill is designed to enhance the financial stability of the retirement system while providing necessary adjustments to benefits for retirees. An emergency clause is included to expedite the bill's implementation upon approval.

Statutes affected:
Introduced: 62-3103