SB 1052 Summary

• Replaces the age-based required beginning date (April 1 following the calendar year a member attains 70½ years of age) with a requirement tied to section 401(a)(9)(C) of the Internal Revenue Code for Arizona State Retirement System (ASRS) members.

• Requires ASRS to treat members who die after their required beginning date without commencing distribution as having begun retirement benefits on their required beginning date, with benefits paid to their estate.

• Changes the age threshold in required distribution rules for surviving spouses from 70½ years of age to 72 years of age.

• Modifies the Long-Term Disability (LTD) program to permit members receiving LTD benefits to also receive retirement benefits when those benefits are required under section 38-775.

• Makes technical corrections and clarifications to conform ASRS distribution rules with federal Internal Revenue Code requirements regarding required minimum distributions.