AR SB137

Eliminates interest credits on member deposit accounts beginning July 1, 2013.

Increases service requirement from 5 years to 10 years of actual service for members hired on or after July 1, 2013, to be eligible for retirement, disability, death benefits, and service credit purchases across multiple sections of the retirement system.

Extends the Deferred Retirement Option Plan (DROP) participation duration from 5 years to 7 years for active police officers and firefighters.

Adds a 3% annual cost-of-living increase for members in the Deferred Retirement Option Plan starting in year 6 of participation, effective when they cease employment and receive service retirement.

Makes the act effective immediately on July 1, 2013, declaring an emergency to update and clarify Arkansas Local Police and Fire Retirement System statutes.