Stricken language would be deleted from and underlined language would be added to present law.
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State of Arkansas 1
95th General Assembly A Bill 2
Regular Session, 2025 SENATE BILL 79 3
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By: Senator Crowell 5
By: Representative Jean 6
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For An Act To Be Entitled 8
AN ACT TO AMEND THE LAW CONCERNING SERVICE CREDIT FOR 9
ELECTED OFFICIALS PARTICIPATING IN A PUBLIC EMPLOYEE 10
RETIREMENT PLAN; TO AMEND THE LAW CONCERNING THE 11
ARKANSAS PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE 12
STATE POLICE RETIREMENT SYSTEM; TO PERMIT A CHANGE IN 13
THE DATE OF RETIREMENT IN THE CASE OF A NON -14
CONTRIBUTORY MEMBER WITH SERVICE IN BOTH THE ARKANSAS 15
PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE STATE 16
POLICE RETIREMENT SYSTEM WHEN THE MEMBER HAS 17
CONTINUOUS SERVICE IN ONE SYSTEM AND ERRONEOUSLY 18
RETIRED FROM COVERED EMPLOYMENT WITH BOTH SYSTEMS 19
WHEN CHANGING COVERED EMPLOYMENT; TO ALLOW FOR A 20
CHANGE OF SELECTION OF RETIREMENT ANNUITY UNDER THE 21
ARKANSAS PUBLIC EMPLOYEES' RETIREMENT SYSTEM DEFERRED 22
RETIREMENT OPTION PLAN; AND FOR OTHER PURPOSES. 23
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Subtitle 26
TO AMEND THE LAW CONCERNING THE ARKANSAS 27
PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND 28
THE STATE POLICE RETIREMENT SYSTEM. 29
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BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: 31
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SECTION 1. Arkansas Code Title 24, Chapter 2, Subchapter 7, is amended 33
to add additional sections to read as follows: 34
24-2-705. Service in Arkansas Public Employees' Retirement System and 35
State Police Retirement System — Erroneous retirement — Affidavit. 36 SB79
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(a)(1) If a noncontributory member, including without limitation a 1
noncontributory member who is an elected official, establishes service in 2
both the Arkansas Public Employees' Retirement System and the State Police 3
Retirement System and has continuous service in either system, but 4
erroneously retired from both systems when his or her employment changed from 5
being covered by one (1) of the systems to the other system, the non -6
contributory member may file with the relevant retirement system an affidavit 7
stating that his or her retirement from his or her most recent employer was 8
in error. 9
(2) If the noncontributory member files the affidavit in 10
subdivision (a)(1) of this section, he or she shall have his or her date of 11
retirement changed to the last date of employment with his or her most recent 12
employer. 13
(b) The Arkansas Public Employees' Retirement System shall create a 14
formula to calculate interest that has accrued in the event that the 15
noncontributory member has: 16
(1) Paid contributions to the system that covers his or her most 17
recent employment; and 18
(2) Received any retirement benefits from the system that covers 19
his or her most recent employment. 20
(c) A person making an election under this section must submit the 21
affidavit under subdivision (a)(1) of this section no later than: 22
(1) Six (6) months after retiring from his or her final position 23
in covered employment with either the Arkansas Public Employees' Retirement 24
System or the State Police Retirement System; or 25
(2) Six (6) months from the effective date of this act, if the 26
person has already retired from his or her final position in covered 27
employment with either the Arkansas Public Employees' Retirement System or 28
the State Police Retirement System. 29
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SECTION 2. Arkansas Code § 24 -4-803(b), concerning a member's deferred 31
option contributions and selection of deferred retirement option, time of 32
retirement deferral, and retirement annuity under the Arkansas Public 33
Employees' Retirement System Deferred Retirement Option Plan, is amended to 34
read as follows: 35
(b)(1) The member's deferred option account shall be the account in 36 SB79
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which shall be accumulated the member's deferred option contributions, plus 1
interest. Effective July 1, 1999, the The Arkansas Public Employees' 2
Retirement System's deferred option contributions shall be at least seventy -3
five percent (75%) of the system's deferred option benefit with the exact 4
contribution to be determined in accordance with the rules of the board as is 5
actuarially appropriate for the system. The member shall be informed of the 6
amount of his or her deferred option contribution and informed that his or 7
her selection of the deferred retirement option , and the time of the 8
retirement deferral, and the selection of the retirement annuity are 9
irrevocable. 10
(2) The member's section of the retirement annuity may be 11
changed one (1) time after his or her initial election, subject to the 12
requirements of subdivision (b)(3) of this section: 13
(A) At the election of the member; and 14
(B) By contacting the board. 15
(3) A person making a change of election under subdivision 16
(b)(2) of this section must submit an affidavit requesting to change his or 17
her selection of retirement annuity no later than: 18
(A) Six (6) months after retiring from his or her final 19
position in covered employment with the system; or 20
(B) Six (6) months from the effective date of this act, if 21
the person has already retired from his or her final position in covered 22
employment with the system. 23
(4) A person who elects to change his or her selection of 24
retirement annuity under subdivision (b)(2) of this section shall pay to the 25
system a lump sum of any difference in the monetary benefits he or she 26
received from his or her initial selection of retirement annuity and his or 27
her subsequent selection of retirement annuity to the system within six (6) 28
months after the change in retirement annuity becomes effective. 29
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