Oklahoma 2022 Regular Session

Oklahoma Senate Bill SB743 Latest Draft

Bill / Enrolled Version Filed 05/17/2022

                             
RBH No. 10793 
 
An Act 
ENROLLED SENATE 
BILL NO. 743 	By: Weaver of the Senate 
 
  and 
 
  Moore of the House 
 
 
 
 
An Act relating to public retirement systems; 
amending 62 O.S. 2021, Section 3103, which relates to 
the Oklahoma Pension Legislation Actuarial Analysis 
Act; modifying definitions; amending 11 O.S. 2021, 
Sections 50-101 and 50-115, which relate to 
definitions and disabil ity benefit; modifying 
definitions of permanent in-line disability and 
normal disability benefit; modifying disability 
benefits received by certain disabled officers; 
updating statutory language; modifying permanent 
impairment guidelines ; and providing effective dates. 
 
 
 
SUBJECT:  Public retirement system s 
 
BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAH OMA: 
 
SECTION 1.     AMENDATORY    62 O.S. 2021, Section 3103, is 
amended to read as follows: 
 
Section 3103. As used in the Oklahoma Pension Legislation 
Actuarial Analysis Act: 
 
1.  "Amendment" means any amendment, including a substitute 
bill, made to a retirement bill by any committee of the House or 
Senate, any conference committee of the House or Senate or by the 
House or Senate; 
 
2.  "RB number" means that number precede d by the letters "RB" 
assigned to a retirement bill by the respective staffs of the 
Oklahoma State Senate and the Oklahoma House of Representatives when  RBH No. 10793 
ENR. S. B. NO. 743 	Page 2 
the respective staff office prepares a retirement bill for a member 
of the Legislature; 
 
3.  "Legislative Actuary" means the firm or entity that enters 
into a contract with the Legislative Service Bureau pursuant to 
Section 452.15 of Title 74 of the Oklahoma Statutes to provide the 
actuarial services and other duties provided for in the Oklahoma 
Pension Legislation Actuarial Analysis Act; 
 
4.  "Nonfiscal amendment" means an amendment to a retirement 
bill having a fiscal impact, which amendment does not change any 
factor of an actuarial investigation specified in subsection A of 
Section 3109 of this title; 
 
5.  "Nonfiscal retirement bill" means a retirement bill: 
 
a. which does not affect the cost or funding factors of a 
retirement system, 
 
b. which affects such factors only in a manner which does 
not: 
 
(1) grant a benefit increase under the retirement 
system affected by the bill, 
 
(2) create an actuarial accrued liability for or 
increase the actuarial accrued liability of the 
retirement system affected by the bill, or 
 
(3) increase the normal cost of the retirement system 
affected by the bill, 
 
c. which authorizes the purchase by an active member of 
the retirement system, at the actuarial cost for the 
purchase as computed pursuant to the statute in effect 
on the effective date of the measure allowing such 
purchase, of years of service for purposes of reaching 
a normal retirement date in the applicable retirement 
system, but which cannot be used in order to compute 
the number of years of service for purposes of 
computing the retirement benefit for the member, 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 3 
d. which provides for the computation of a service -
connected disability retirement benefit for members of 
the Oklahoma Law Enforcement Retirement System 
pursuant to Section 2-305 of Title 47 of the Oklahoma 
Statutes if the members were unable to complete twenty 
(20) years of service as a result of the disability, 
 
e. which requires membership in the defined benefit plan 
authorized by Section 901 et seq. of Title 74 of the 
Oklahoma Statutes for persons whose first elected or 
appointed service occurs on or after November 1, 2018, 
if such persons had any prior service in t he Oklahoma 
Public Employees Retirement System prior to November 
1, 2015, 
 
f. which provides for a one-time increase in retirement 
benefits if the increase in retirement benefits is not 
a permanent increase in the gross annual retirement 
benefit payable to a member or beneficiary, occurs 
only once pursuant to a single statutory authorization 
and does not exceed: 
 
(1) the lesser of two percent (2%) of the gross 
annual retirement benefit of the member or One 
Thousand Dollars ($1,000.00) and requires that 
the benefit may only be provided if the funded 
ratio of the affected retirement system would not 
be less than sixty percent (60%) but not greater 
than eighty percent (80%) after the benefit 
increase is paid, 
 
(2) the lesser of two percent (2%) of the gross 
annual retirement benefit of the member or One 
Thousand Two Hundred Dollars ($1,200.00) and 
requires that the benefit may only be provided if 
the funded ratio of the affected retirement 
system would be greater than eighty percent (80%) 
but not greater than one h undred percent (100%) 
after the benefit increase is paid, 
 
(3) the lesser of two percent (2%) of the gross 
annual retirement benefit of the member or One  RBH No. 10793 
ENR. S. B. NO. 743 	Page 4 
Thousand Four Hundred Dollars ($1,400.00) and 
requires that the benefit may only be provided if 
the funded ratio of the affected retirement 
system would be greater than one hundred percent 
(100%) after the benefit increase is paid, or 
 
(4) the greater of two percent (2%) of the gross 
annual retirement benefit of the volunteer 
firefighter or One Hundred Dolla rs ($100.00) for 
persons who retired from the Oklahoma 
Firefighters Pension and Retirement System as 
volunteer firefighters and who did not retire 
from the Oklahoma Firefighters Pension and 
Retirement System as a paid firefighter. 
 
As used in this subparagr aph, "funded ratio" means the 
figure derived by dividing the actuarial value of 
assets of the applicable retirement system by the 
actuarial accrued liability of the applicable 
retirement system, 
 
g. which modifies the disability pension standard for 
police officers who are members of the Oklahoma Police 
Pension and Retirement System as provi ded by Section 3 
of this act, or 
 
h. which provides a cost-of-living benefit increase 
pursuant to the provisions of Sections 2 through 7 of 
this act: 
 
(1) Section 49-143.7 of Title 11 of the Oklahoma 
Statutes, 
 
(2) Section 50-136.9 of Title 11 of the Oklahoma 
Statutes, 
 
(3) Section 1104K of Title 20 of the Oklahoma 
Statutes, 
 
(4) Section 2-305.12 of Title 47 of the Oklahoma 
Statutes, 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 5 
(5) Section 17-116.22 of Title 70 of the O klahoma 
Statutes, 
 
(6) Section 930.11 of Title 74 of the Oklahoma 
Statutes, or 
 
i. which modifies the computation of the line-of-duty 
disability benefit pursuant to the provisions of this 
act. 
 
A nonfiscal retirement bill shall include any retirement bill th at 
has as its sole purpose the appropriation or distribution or 
redistribution of monies in some manner to a retirement system for 
purposes of reducing the unfunded liability of such system or the 
earmarking of a portion of the revenue from a tax to a reti rement 
system or increasing the percentage of the revenue earmarked from a 
tax to a retirement system; 
 
6. "Reduction-in-cost amendment" means an amendment to a 
retirement bill having a fiscal impact which reduces the cost of the 
bill as such cost is deter mined by the actuarial investigation for 
the bill prepared pursuant to Section 3109 of this title; 
 
7.  "Retirement bill" means any bill or joint resolution 
introduced or any bill or joint resolution amended by a member of 
the Oklahoma Legislature which cre ates or amends any law directly 
affecting a retirement system.  A retirement bill shall not mean a 
bill or resolution that impacts the revenue of any state tax in 
which a portion of the revenue generated from such tax is earmarked 
for the benefit of a reti rement system; 
 
8.  "Retirement bill having a fiscal impact" means any 
retirement bill creating or establishing a retirement system and any 
other retirement bill other than a nonfiscal retirement bill; and 
 
9.  "Retirement system" means the Teachers' Retirement System of 
Oklahoma, the Oklahoma Public Employees Retirement System, the 
Uniform Retirement System for Justices and Judges, the Oklahoma 
Firefighters Pension and Retirement System, the Oklahoma Police 
Pension and Retirement System, the Oklahoma Law Enf orcement 
Retirement System, or a retirement system established after January 
1, 2006.  RBH No. 10793 
ENR. S. B. NO. 743 	Page 6 
 
SECTION 2.     AMENDATORY     11 O.S. 2021, Section 50-101, is 
amended to read as follows: 
 
Section 50-101. As used in this article: 
 
1.  "System" means the Oklahoma Police Pension and Retirement 
System and all predecessor muni cipal Police Pension and Retirement 
Systems; 
 
2.  "Article" means Article 50 of this title; 
 
3.  "State Board" means the Oklahoma Police Pension and 
Retirement Board; 
 
4.  "Fund" means the Oklahoma Police Pension and Retirement 
Fund; 
 
5.  "Officer" means any duly appointed and sworn full-time 
officer of the regular police depa rtment of a municipality whose 
duties are to preserve the public peace, protect l ife and property, 
prevent crime, serve warrants, enforce all laws and municipal 
ordinances of this state, a nd any political subdivision thereof, and 
who is authorized to bear arms in the execution of such duties; 
 
6.  "Member" means all eligible officers of a participating 
municipality and any person hired by a participating municipality 
who is undergoing police training to become a permanent police 
officer of the municipality. Effective July 1, 1987, a member does 
not include a "leased employee" as defined under Section 414(n)(2) 
of the Internal Revenue Code of 1986, as amended.  Effective J uly 1, 
1999, any individual who agrees with the participating municipality 
that the individual’s services are to be performed as a leased 
employee or an independent cont ractor shall not be a member 
regardless of any classification as a common law employee by the 
Internal Revenue Service or any other governmental agency, or any 
court of competent jurisdiction.  A member shall include e ligible 
commissioned officers of the O klahoma State Bureau of Narcotics and 
Dangerous Drugs Control, the Oklahoma State Burea u of Investigation, 
and the Alcoholic Beverage Laws Enforcement Commission who elect to 
participate in the System pursuant to Secti on 50-111.5 of this 
title;  RBH No. 10793 
ENR. S. B. NO. 743 	Page 7 
 
7.  "Normal retirement date" means the date at which the member 
is eligible to receive the unreduc ed payments of the m ember’s 
accrued retirement benefit.  Such date shall be the first da y of the 
month coinciding with or following the date the member completes 
twenty (20) years of credited service.  If the member’s employment 
continues past the normal r etirement date of th e member, the actual 
retirement date of the member shall be the firs t day of the month 
after the member termina tes employment with more than twenty ( 20) 
years of credited service; 
 
8. "Credited service" means the period of service used to 
determine the eligibility for and the amount of benefits payable to 
a member.  Credited service shall consist of the period duri ng which 
the member participated in th e System or the predecessor munic ipal 
systems as an active employee in an eligible memb ership 
classification, plus any service prior to the establishment of the 
predecessor municipal systems which was credited under th e 
predecessor municipal systems or cre dited service granted by the 
State Board; 
 
9.  "Participating municipality" means a municipality which is 
making contributions to the System on behalf of its officers.  The 
Oklahoma State Bureau of Narcotics and Dangero us Drugs Control, the 
Oklahoma State Bureau of Investigation, and the A lcoholic Beverage 
Laws Enforcement Commission shall be treated in the same manner as a 
participating municipality only regarding those members who elect to 
participate in the System pur suant to Section 50-111.5 of this 
title; 
 
10.  "Permanent total disabili ty" means incapacity due to 
accidental injury or occup ational disease, to earn any wages in the 
employment for which the member is physically suited and reasonably 
fitted through educat ion, training or experience.  Further, the 
member must be declared one hundred percent (100%) impaired as 
defined by the "American Medical Associ ation’s Guides to the 
Evaluation of Permanent Impairment " on the basis of a physical 
medical examination by a p hysician licensed to practice medicine in 
this state, as selected by th e State Board; 
 
11.  "Permanent partial disability" means permanent disability 
which is less than permanent total disability as defined in this  RBH No. 10793 
ENR. S. B. NO. 743 	Page 8 
section.  The member must be declared no g reater than ninety-nine 
percent (99%) impaired as defined by the "American Medical 
Association’s Guides to the Evaluation of Permanent Impairment" on 
the basis of a physical medical examination by a physician lice nsed 
to practice medicine in this state, as selected by the State Board; 
 
12.  "Permanent in-line disability" means incapacity to earn any 
wages as a certified, commissi oned police officer due to accidental 
injury or occupational disease, incurred while in, and in 
consequence of, the performance of duty as an officer when a police 
officer serving in any capacity at a regular police department of a 
participating municipali ty becomes so physically or mentally 
disabled, as determined by an independent medical examiner, 
psychiatrist, or psychologist selected by the State Board, while in, 
and in consequence of, the performan ce of authorizing activities 
while on duty as an officer that he or she is unable to perform the 
required duties of a police officer; 
 
13.  "Beneficiary" means a member’s surviving spouse or any 
surviving children, including biological and adopted children, at 
the time of the member’s death.  The surviving spouse must have been 
married to the member for the thirty (30) continuous months 
immediately preceding the member ’s death, provided a survivin g 
spouse of a member who died while in, and as a consequence o f, the 
performance of the member's duty for a participating municipality, 
shall not be subject to the thirty-month marriage requirement for 
survivor benefits.  A surviving child of a member shal l be a 
beneficiary until reach ing eighteen (18) years of age o r twenty-two 
(22) years of age if the child is enrolled full time and regularly 
attending a public or private school or any institution of higher 
education.  Any child adopted by a member after the member’s 
retirement shall be a beneficiary only if the chi ld is adopted by 
the member for the thirty (30) continuous months preceding the 
member’s death.  Any child who is adopted by a member after the 
member’s retirement and such member dies accidenta lly or as a 
consequence of the performance of the member ’s duty as a police 
officer shall not be subject to the thirty-month adoption 
requirement. This definition of beneficiary shall be in addition to 
any other requirement set forth in this article; 
 
14.  "Executive Director" means the managing officer of the 
System employed by the State Board;  RBH No. 10793 
ENR. S. B. NO. 743 	Page 9 
 
15.  "Eligible employer" means any municipality with a municipal 
police department; 
 
16.  "Entry date" means the date as of which an eligible 
employer joins the Syst em.  The first entry date purs uant to this 
article shall be January 1, 1981; 
 
17.  "Final average salary" means the average paid base salary 
of the member for normally scheduled hours over the highest salaried 
thirty (30) consecutive months of the last sixt y (60) months of 
credited service.  Effective July 1, 2016, th e following shall apply 
in computing final average salary: 
 
a. only paid base salary on which required contributions 
have been made shall be used in computing a member ’s 
final average salary, 
 
b. for purposes of determining th e normal disability 
benefit only, final average salary shall be based on 
the member’s total service if less than thirty (30) 
months, 
 
c. in addition to other applicable limitations, and 
notwithstanding any other provision to th e contrary, 
for plan years beginning on or after July 1, 2002, the 
annual compensation of each “Noneligible Member” taken 
into account under the System shall not exceed the 
Economic Growth and Tax Relief Reconciliation Act of 
2001 (EGTRRA) annual compensat ion limit.  The EGTRRA 
annual compensation limit is Two Hundre d Thousand 
Dollars ($200,000.00), as adjusted by the Commissioner 
for increases in the cost of living in accordance with 
Section 401(a)(17)(B) of the Internal Revenue Code of 
1986, as amended.  The annual compensation limit in 
effect for a calendar year ap plies to any period, not 
exceeding twelve (12) months, over which compensation 
is determined ("determination period") beginning in 
such calendar year.  If a determination period 
consists of fewer than twelve (12) months, the EGTRRA 
annual compensation limi t will be multiplied by a 
fraction, the numerator of which is the number of  RBH No. 10793 
ENR. S. B. NO. 743 	Page 10 
months in the determination period, and the 
denominator of which is twelve (12).  For purposes of 
this section, a "Noneligible Member" is any member who 
first became a member durin g a plan year commencing on 
or after July 1, 1996, 
 
d. for plan years beginning on or after July 1, 2002, any 
reference in the System to the annual compensation 
limit under Section 401(a)(17) of the Internal Revenue 
Code of 1986, as amended, shall mean the EGTRRA annual 
compensation limit set forth in this provision, and 
 
e. effective January 1, 2008, back pay, within the 
meaning of Section 1.415(c) -2(g)(8) of the Income Tax 
Regulations, shall be t reated as paid base salary for 
the limitation year to which th e back pay relates to 
the extent the back pay represents wages and 
compensation that would otherwise be included in this 
definition; 
 
18.  "Accrued retirement benefit " means two and one-half percent 
(2 1/2%) of the member ’s final average salary multiplied b y the 
member’s years of credited service not to exceed thirty (30) years; 
 
19.  "Normal disability benefit" means the greater of: 
 
a. two and one-half percent (2 1/2%) of the member ’s 
final average salary multiplied by twenty (20) years, 
notwithstanding the years of actual credited service, 
or 
 
b. two and one-half percent (2 1/2%) of the member’s 
final average salary multiplied by the years of 
credited service of the member, not to exceed thirty 
(30) years, if the officer has mor e than twenty (20) 
years of credited service; 
 
20.  "Limitation year" means the year used in applying the 
limitations of Section 415 of the Internal Revenue Code of 1986, as 
amended, which year shall be the calendar year; 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 11 
21.  "Paid base salary" means, effective July 1, 2016, an y 
compensation described in subparagraph a of this paragraph that is 
not described in subparagraph b of this paragraph. 
 
a. Paid base salary shall in clude only: 
 
(1) normal compensation paid on a regularly scheduled 
pay period, including, but not limited to, 
regular pay for holidays, paid time off, vacation 
or annual leave, sick leave or compensatory time 
in lieu of overtime, any lump sum payment paid i n 
lieu of a normal wage incre ase, provided such 
lump sum payment is retroactively appl ied over 
the prior twelve-month period ending with the 
payment date, compensation for bomb squad pay, 
education pay, incentive pay, K-9 pay, 
negotiation pay, shift differ ential, sniper pay, 
SWAT team pay, emergency response team pay, any 
other special unit pay, and any incremen tal 
increase in compensation which is not included by 
the employer in a member’s regular base pay for 
salary increase purposes but is paid by the 
employer to the member for grou p health benefits 
based on an arrangement with a particip ating 
municipality that was in place on December 31, 
2015, so long as the arrangement continues 
uninterrupted for a member employed by a 
participating municipality on Jun e 30, 2016, who 
has not since terminated employment and been 
rehired by such participa ting municipality, 
 
(2) any amount of elective salary reduction under 
Section 125 of the Internal Revenue Code of 1986, 
as amended, that would have been treated as paid 
base salary but for the salary deferral reduction 
agreement, 
 
(3) any amount of elective salary reduction not 
includable in the gross income of the member 
under Section 132(f)(4) of the Internal Revenue 
Code of 1986, as amended, that would have been  RBH No. 10793 
ENR. S. B. NO. 743 	Page 12 
treated as paid base salary but for th e salary 
deferral reduction agreement, 
 
(4) any amount of elective salary reduct ion under 
Section 457 of the Internal Revenue Code of 1986, 
as amended, that would have been treated as paid 
base salary but for the salary deferral reduction 
agreement, 
 
(5) any amount of elective salary reduction under 
Section 401(k) of the Internal Reven ue Code of 
1986, as amended, that would have been treated as 
paid base salary but for the salary deferral 
reduction agreement, 
 
(6) any amount of nonelective salary reduction und er 
Section 414(h) of the Internal Revenue Code of 
1986, as amended, 
 
(7) educational allowances paid to obtain training 
certification or pursue an advanced degree, 
 
(8) longevity payments made to members based upon a 
standardized plan which recognizes length of 
service to the participating municipality, 
 
(9) paid base salary shall also include base salary, 
as described in divisions (1) through (8) of this 
subparagraph, for services, but paid by the later 
of two and one-half (2 1/2) months after a 
member’s severance from employment or the end of 
the calendar year tha t includes the date th e 
member terminated employment, if it is a payment 
that, absent a severance from employment, would 
have been paid to the member while the member 
continued in employment with the participating 
municipality, 
 
(10) any payments not descri bed in divisions (1) 
through (9) of this subparagraph shall not be 
considered paid base salary if paid after 
severance from employment, even if they are paid  RBH No. 10793 
ENR. S. B. NO. 743 	Page 13 
by the later of two and one-half (2 1/2) months 
after the date of severance from employment or 
the end of the calendar y ear that includes the 
date of severance from employment, except 
payments to an individual who does not currently 
perform services for the participat ing 
municipality by reason of qualified military 
service within the meaning of Section 414(u)(5) 
of the Internal Revenue Code of 1986, as amended, 
to the extent these payments do not exceed the 
amounts the individual would have received if the 
individual had continued to perform servi ces for 
the participating municipality rather than 
entering qualified military service, 
 
(11) back pay, within the meaning of Section 1.415(c)-
2(g)(8) of the Income Tax Regulations, shall be 
treated as paid base salary for the l imitation 
year to which the back pay relates to the extent 
the back pay represents wag es and compensation 
that would otherwise be included in this 
definition, and 
 
(12) paid base salary shall also include differential 
wage payments under Section 414(u)(12) of the 
Internal Revenue Code of 1986, as amended. 
 
b. Notwithstanding anything to the c ontrary in this 
section, paid base salary shall not include any: 
 
(1) fringe benefits, reimbursements, or increases in 
compensation due to reimbursements to the extent 
not specifically included above in subparagraph a 
of this paragraph, 
 
(2) incremental increase in compensation w hich is not 
included by the employer in a member’s regular 
base pay for salary increase purposes but is paid 
by the employer to the member for group health 
benefits not otherwis e included above in division 
(1) of subparagraph a of thi s paragraph, 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 14 
(3) insurance benefits, including any reimbursements 
thereof, or insurance proceeds of any type not 
otherwise included above in division (1) of 
subparagraph a of this paragraph, 
 
(4) bonuses, including signing bonuses, lump -sum 
payments or stipends made to the membe r not 
otherwise included above in division (1) of 
subparagraph a of this paragraph, 
 
(5) overtime compensation, 
 
(6) payments whether prior to or upon termination of 
employment for accumulated unused vacation or 
unused annual leave, acc umulated unused sick 
leave, or accumulated unused paid time off or 
other unused leave, 
 
(7) payments made in error to a member, 
 
(8) payments made by the participating muni cipality 
for services rendere d by the member, which 
services are not part of the membe r’s job duties 
and responsibilities of his or her job position 
with the participating m unicipality, 
 
(9) severance pay, 
 
(10) unemployment payments, and 
 
(11) uniform and equipment allowances; and 
 
22.  "Actuarial equivalent " means equality in value of the 
aggregate amounts expecte d to be received based on interest rate and 
mortality assumption s set by the State Board, in a manner that 
precludes employer discretion, and based upon recommendations from 
independent professional advisors, and which shall be publis hed 
annually in the actuarial report. 
 
SECTION 3.     AMENDATORY    11 O.S. 2021, Section 50-115, is 
amended to read as follows: 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 15 
Section 50-115. A.  The State Board is authorized t o pay a 
disability benefit to a member of the System or a pension to the 
beneficiaries of such member eligible as hereinafter provided, not 
exceeding the accrued retirement b enefit of the member, except as 
otherwise provided in this article.  Such disabili ty benefit shall 
be payable immediately upon determi nation of eligibility. Any 
preexisting condition identified at the time of any initial or 
subsequent membership shall be used to offset the percentage of 
impairment to the whole person in determining any disability 
benefit.  Once the initial disability be nefit has been awarded by 
the Board on the basis of the percentage of impairment to the whole 
person, the member shall hav e no further recourse to increase the 
awarded percentage of impairment. 
 
B.  In order for any member to be eligible for any disability 
benefit, or the member’s beneficiaries to be eligible for a pension, 
the member must have complied with any agreement as t o contributions 
by the member and other members to any funds of the System where 
said the agreement has been made as provided by this arti cle; and 
the State Board must find: 
 
1.  That the member incurred a permanent total disability or a 
permanent partial disability or died while in, and in consequence 
of, the performance of duty as an o fficer; or 
 
2.  That such member has served ten (10) year s and incurred a 
permanent total disability or a permanent partial disability or has 
died from any cause. 
 
C.  In the event of the death of any member who has been awarded 
a disability benefit or is el igible therefor as provided in this 
article, the member’s beneficiary shall be paid the benefit. 
 
D.  1.  As of the date of determination by the State Board that 
a member is physically or mentally disabled and that the disabili ty 
is permanent and partial or permanent and total as was incurred 
while in, and in consequence of, the performance or duty as an 
officer has a permanent in-line disability, the member shall be 
awarded a normal disability benefit on the basis of the percen tage 
of impairment to the whol e person, as defined by the most current 
standards of the impairment as outlined in the "American Medical 
Association's Guides to the Evaluation of Permanent Impairment ", as  RBH No. 10793 
ENR. S. B. NO. 743 	Page 16 
provided in the following table or as prescribed by paragraph 2 of 
this subsection with respect to injuries sustained as a result of a 
violent act: 
 
1% to 49% impairment to whole person = 50% of the normal 
 	disability benefit 
 
50% to 74% impairment to whole person = 75% of the normal 
 	disability benefit 
 
75% to 100% impairment to whole per son = 100% of the normal
disability benefit, as defined in Section 50 -101 of this title. 
 
2.  If an injury to a member results from a violent act as 
defined by this paragraph while in the performance of his or her 
duties as a police officer, the State Board shall make a 
determination that the member has sustain ed a one-hundred-percent 
disability and shall make the benefit award in accordance with that 
standard. As used in this paragraph, "violent act" means a violent 
attack upon the member by means of a dan gerous weapon, including, 
but not limited to, a firearm , knife, automobile, explosive device 
or other dangerous weapon. 
 
E. If the participating municipality denies a disabled member 
the option of continuing employment instead of retiring on a 
disability pension, then the burden of proof rests with the 
participating municipality to show cause to the State Board that 
there is no position as a sworn officer within the police department 
of that municipality which the member can fill. 
 
F.  Upon determination by the State Board that a member is 
physically or mentally disabled and that the disability is permanent 
and total and that the member has completed ten (10) years of 
credited service and is disabled by any cause, the member shall 
receive a disability benefit on the basis of the member’s accrued 
retirement benefit.  A permanent and total impairment equates to one 
hundred percent (100%) of accrued retirement benefit. 
 
G.  Upon determination by the State Board that a member is 
physically or mentally disabled and that the disability is permanent 
and partial and that t he member has completed ten (10) years of 
credited service as a member and is disabled from any cause, the  RBH No. 10793 
ENR. S. B. NO. 743 	Page 17 
member shall be awarded a disability benefit on the basis of the 
member’s years of credited se rvice as a member and the percentage of 
impairment to the whole person, as defined by the most current 
standards of the impairment as outlined in the "American Medical 
Association’s Guides to the Evaluation of Permanent Impairment ", on 
the basis of the fol lowing table: 
 
1% to 24% impaired = 25% of accrued retir ement benefit 
 
25% to 49% impaired = 50% of accrued retirement benefit 
 
50% to 74% impaired = 75% of accrued retirement benefit 
 
75% to 99% impaired = 90% 100% of accrued retirement benefit. 
 
H.  Before making a finding as to the disability of a member, 
the State Board shall require that, if the member is able, the 
member shall make a certificate as to the disability which shall be 
subscribed and sworn to by the member.  It shall also require a 
certificate as to such disability to be made by some physician 
licensed to practice in this state as selected by the State Board.  
The State Board may requi re other evidence of disability before 
making the disability benefit.  The salary of any such member shall 
continue while the member is so necessarily confined to such 
hospital bed or home and necessarily requires medical care or 
professional nursing on ac count of such sickness or disability for a 
period of not more than six (6) months, after which said the period 
the other provisions of this article may apply.  The State B oard, in 
making disability benefits, shall act upon the written request of 
the member or without such request, if it deem it for the good of 
the police department.  Any disability benefits shall ce ase when the 
member receiving same shall be restored to act ive service at a 
salary not less than three-fourths (3/4) of the member’s average 
monthly salary. 
 
I.  Any member of a police department of any municipality who, 
in the line of duty, has been expose d to hazardous substances, 
including but not limited to che micals used in the manufacture of a 
controlled dangerous substance or chemicals resul ting from the 
manufacture of a controlled dangerous substance, or to blood -borne 
pathogens and who is later disa bled from a condition that was the 
result of such exposure and that was not revealed by the physical  RBH No. 10793 
ENR. S. B. NO. 743 	Page 18 
examination passed by the member upon entry into the System shall be 
presumed to have incurred such disability while performing the 
officer’s duties unless the contrary is shown by competent evidence.  
The presumption created by this subsection shall have no application 
whatever to any workers’ compensation claim or claims, and it shall 
not be applied or be relied upon in any way in workers ’ compensation 
proceedings.  All compensation or benefits due to any member 
pursuant to the presumption created by this subsection shall be paid 
solely by the system. 
 
J.  If the requirements of Section 50-114.4 of this title are 
satisfied, a member who, by reason of disabil ity, is separated from 
service as a public safety officer w ith the member’s participating 
municipality, may elect to have payment made directly to the 
provider for qualified health insurance premiums by deduction from 
his or her monthly disability benefit, after December 31, 2006, in 
accordance with Section 402(l) of the Internal Revenue Code of 1986, 
as amended. 
 
SECTION 4.  Section 1 of this act shall become effective October 
1, 2022. 
 
SECTION 5.  Sections 2 and 3 of this act shall become effective 
November 1, 2022. 
  RBH No. 10793 
ENR. S. B. NO. 743 	Page 19 
Passed the Senate the 16th day of May, 2022. 
 
 
  
 	Presiding Officer of the Se nate 
 
 
Passed the House of Representatives the 20th day of April, 2022. 
 
 
  
 	Presiding Officer of the House 
 	of Representatives 
 
OFFICE OF THE GOVERNOR 
Received by the Office of the Governor this _______ _____________ 
day of ___________________, 20_______, at _______ o'clock _______ M. 
By: _______________________________ __ 
Approved by the Governor of the State of Oklahoma this _____ ____ 
day of _________________ __, 20_______, at _______ o'clock _______ M. 
 
 	___________________________ ______ 
 	Governor of the State of Oklahoma 
 
 
OFFICE OF THE SECRETARY OF STATE 
Received by the Office of the Secretary of State this _______ ___ 
day of __________________, 20 _______, at _______ o'clock _______ M. 
By: _______________________________ __