AZ SB1083

Amends section 38-769 of Arizona Revised Statutes regarding maximum retirement benefits under the Arizona State Retirement System (ASRS).

Modifies the definition and calculation of the applicable interest rate used to determine actuarially equivalent straight life annuities for retirement benefits payable in forms other than a straight life annuity.

Specifies that the applicable interest rate is the annual interest rate on thirty-year treasury securities as determined by the Internal Revenue Service Commissioner, with a stability period of one plan year and a look-back month of the third full calendar month preceding the first day of the stability period.

Applies the new interest rate methodology to annuity starting dates occurring in plan years beginning on or after July 1, 2006 when calculating benefit adjustments under section 415 of the Internal Revenue Code.