HB 83 Summary

• Allows teachers and public employees first hired after June 30, 2006, to make a one-time election to switch from defined contribution retirement plans to defined benefit retirement plans within 90 days of hire, with all contributions transferred actuarially.

• Employees already in defined contribution plans (hired after June 30, 2006, before the effective date) may make a one-time election within 90 days after the bill's effective date to transfer to defined benefit plans with all accumulated contributions.

• Requires employers participating in defined contribution plans to also participate in defined benefit retirement plans under AS 14.25.009 - 14.25.220 (teachers) and AS 39.35.095 - 39.35.680 (public employees).

• Mandates that members appointed to disability benefits must apply for vocational rehabilitation within 30 days or benefits terminate; establishes employee contribution rates of 8 percent for members first participating after June 30, 2006.

• Adjusts Medicare-eligible retiree health insurance premiums based on years of service, with percentages subject to five-year adjustments starting July 1, 2024, to maintain employer cost targets; takes effect July 1, 2019.