AZ SB1116

Amends retirement benefit provisions for the Public Safety Personnel Retirement System (PSPRS), Corrections Officer Retirement Plan (CORP), and Elected Officials' Retirement Plan (EORP) regarding service credit redemptions, disability pensions, and death benefits.

Changes discount rate calculation for prior service redemptions to use the lesser of the board's assumed rate of return or the yield on a ten-year Treasury note plus two percent, recalculated annually as of March 1.

Modifies return-to-work provisions for retired members, allowing those hired after sixty consecutive days from retirement or through open competitive processes to continue receiving pensions while employed, and clarifies that voluntary limited authority peace officer duties do not trigger pension suspension.

Expands domestic relations order requirements to specify that orders must be issued by a court of competent jurisdiction in a U.S. state, territory, or possession; clarifies procedures for benefit payment delays and alternate payee claims.

Adds new provision limiting retroactive pension payments to no more than ninety days before the date of a person's application for benefits; modifies service credit restoration procedures for members who receive severance refunds and return to employment.