Bill Summary – FastDemocracy

Stricken language would be deleted from and underlined language would be added to present law.
                                           Act 365 of the Regular Session
 1   State of Arkansas                   As Engrossed:       H2/25/21
 2   93rd General Assembly                        A Bill
 3   Regular Session, 2021                                                             HOUSE BILL 1348
 4
 5   By: Representative Warren
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 7                                     For An Act To Be Entitled
 8                  AN ACT CONCERNING MEMBER CONTRIBUTIONS UNDER THE
 9                  ARKANSAS PUBLIC EMPLOYEES' RETIREMENT SYSTEM; AND FOR
10                  OTHER PURPOSES.
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13                                                 Subtitle
14                           CONCERNING MEMBER CONTRIBUTIONS UNDER THE
15                           ARKANSAS PUBLIC EMPLOYEES' RETIREMENT
16                           SYSTEM.
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19   BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
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21          SECTION 1.       Arkansas Code  24-4-401(b)(1), concerning member
22   contributions under the Arkansas Public Employees' Retirement System, is
23   amended to read as follows:
24          (b)(1)(A)        Until July 1, 2005, the contributions of a contributory
25   member shall be six percent (6%) of the member's annual compensation.
26                           (B)(i)     Beginning July 1, 2005, the contribution rate shall
27   be five percent (5%) of the member's annual compensation for a contributory
28   member.
29                                    (ii)   A person first hired on or after July 1, 2005,
30   is subject to the provisions of  24-4-1101 et seq.
31                           (C)   The member's deposit account shall be credited
32   interest at a rate of four percent (4%) per annum beginning July 1, 2005.
33                           (D)(i)     Beginning July 1, 2022, and continuing each
34   following fiscal year, the contribution rate shall be increased in increments
35   of twenty-five hundredths of one percent (0.25%) per fiscal year.
36                                    (ii)   An increase to the contribution rate under
     *JNL170*                                                                     02-25-2021 10:54:49 JNL170
     As Engrossed:   H2/25/21                                                  HB1348
 1   subdivision (b)(1)(D)(i) of this section shall not result in a contribution
 2   rate greater than seven percent (7%).
 3
 4        SECTION 2.     Arkansas Code  24-4-1102(a), concerning member
 5   contributions under the Arkansas Public Employees' Retirement System, is
 6   amended to add an additional subdivision to read as follows:
 7              (4)(A)     Beginning July 1, 2022, and continuing each following
 8   fiscal year, the contribution rate shall be increased in increments of
 9   twenty-five hundredths of one percent (0.25%) per fiscal year.
10                       (B)   An increase to the contribution rate under subdivision
11   (a)(3)(A) of this section shall not result in a contribution rate greater
12   than seven percent (7%).
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15                                        /s/Warren
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18                                    APPROVED: 3/15/21
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