Stricken language would be deleted from and underlined language would be added to present law.
Act 131 of the Regular Session
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State of Arkansas 1
95th General Assembly A Bill 2
Regular Session, 2025 HOUSE BILL 1211 3
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By: Representative Warren 5
By: Senator Gilmore 6
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For An Act To Be Entitled 8
AN ACT TO MAKE TECHNICAL CORRECTIONS AND CLARIFY 9
LANGUAGE FOR THE PROPER ADMINISTRATION OF BENEFITS 10
UNDER THE ARKANSAS PUBLIC EMPLOYEES’ RETIREMENT 11
SYSTEM; AND FOR OTHER PURPOSES. 12
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Subtitle 15
TO MAKE TECHNICAL CORRECTIONS AND 16
CLARIFY LANGUAGE FOR THE PROPER 17
ADMINISTRATION OF BENEFITS UNDER THE 18
ARKANSAS PUBLIC EMPLOYEES’ RETIREMENT 19
SYSTEM. 20
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 22
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SECTION 1. Arkansas Code § 24-4-101(12)(B), concerning the meaning of 24
recurring remuneration in the definition of "compensation" under the Arkansas 25
Public Employees' Retirement System, is amended to read as follows: 26
(B) The following are recurring remuneration for personal 27
services for the purposes of determining retirement benefits: 28
(i) Career service recognition payments paid to a 29
member under § 21-5-106; 30
(ii) Payments made to a member under § 21 -5-1101, 31
including without limitation a lump -sum payment; 32
(iii)(a) Except as provided in subdivision 33
(12)(B)(iii)(b) of this section, payments made to a member under § 14-14-34
1206(a), including without limitation a bonus or lump -sum payment. 35
(b) The maximum amount of the bonus or lump -36 HB1211
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sum payment that will be considered to be compensation during the last year 1
of a member's employment is the lesser of five percent (5%) of the current 2
year's salary or the amount of the bonus or lump -sum payment that was 3
received by the member during the previous year of employment; 4
(iv)(a) Except as provided in subdivision 5
(12)(B)(iv)(b) of this section, a bonus or lump -sum payment made to a 6
municipal employee as provided in the municipality's annual budget under § 7
14-42-308. 8
(b) The maximum amount of the bonus or lump -9
sum payment that will be considered to be compensation during the member's 10
last year of employment is the lesser of five percent (5%) of the current 11
year's salary or the amount of the bonus or lump -sum payment that was 12
received by the member during the previous year of employment; and 13
(v) Lump-sum payments made to a member under § 21 -5-14
211 and §21-5-219 [repealed]; 15
(vi) Lump-sum payments made to a member under § 21 -16
5-227; and 17
(vii) Bonus payments made to a member under § 21 -5-18
228. 19
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SECTION 2. Arkansas Code § 24 -4-110 is repealed. 21
24-4-110. Failure to terminate — Commencement of annuity payments — 22
Election to retire. 23
A retirant shall not begin receiving annuity payments until all 24
requirements for terminating qualified employment are satisfied. 25
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SECTION 3. Arkansas Code § 24 -4-111 is repealed. 27
24-4-111. Failure to meet termination requirements — Member's 28
retirement election. 29
The failure to meet termination requirements does not revoke a member's 30
retirement election. 31
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SECTION 4. Arkansas Code § 24 -4-520(d), regarding forfeiture of 33
benefits until termination requirements under the Arkansas Public Employees' 34
Retirement System are met, is amended to read as follows: 35
(d)(1) Persons failing A member or former member in the system who 36 HB1211
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fails to meet termination requirements shall forfeit their benefits until 1
requirements are met. 2
(2) A retirant shall not begin receiving annuity payments until 3
all requirements for terminating qualified employment are satisfied. 4
(3) The failure to meet termination requirements does not revoke 5
a member's retirement election. 6
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APPROVED: 2/20/25 9
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