AR HB1286

Amends Arkansas Code § 24-7-702(b)(2) to allow the Arkansas Teacher Retirement System board to set early retirement annuity reduction rates between 5% and 15% per year (prorated monthly) if the system's actuary certifies the amortization period for unfunded liabilities exceeds 18 years and the board determines such reduction is prudent for actuarial soundness.

Amends Arkansas Code § 24-7-1314(b) to allow the board to increase early participation reduction percentages in the Teacher Deferred Retirement Option Plan beyond the standard 0.5% to 1% monthly reduction, by board resolution, to ensure fair and reasonable benefits and appropriate actuarial considerations.

Declares an emergency clause, citing the need for immediate revisions to the Arkansas Teacher Retirement System Act to conform with sound public pension policy and actuarial requirements and to maintain the system's actuarial status.

Establishes effective date as the date of gubernatorial approval, or if neither approved nor vetoed, the expiration of the veto period, or if vetoed and overridden, the date the last house overrides the veto.