AK SB100

Employers terminating participation in the Public Employees' Retirement System must continue making contributions until the plan has no past service liability.

Employers terminating coverage of more than 20 percent of paid employees within one year must pay for a termination cost study directly related to termination costs.

When an employer's participation terminates, the system administrator assesses a termination cost to fully fund costs for terminated employees, including retiree health benefits, occupational disability and death benefits, and elected pension benefits.

Employers must pay assessed termination costs or establish an approved payment plan within 60 days of receiving notice; unpaid costs are collected according to existing enforcement procedures.

Provisions apply retroactively: Sections 1-2 retroactive to July 1, 2008; Sections 3-5 retroactive to June 7, 2007; Section 6 retroactive to January 13, 2010.