HB 4733 Summary

• Requires the state employees' retirement system to offer fixed annuity options and may offer variable annuity options to Tier 2 qualified participants, in addition to existing investment choices.

• Mandates the investment board select 2 or more annuity providers through a competitive proposal process based on specified criteria including financial strength ratings (minimum A2 from Moody's, A from S&P, Fitch, or AM Best), authorization as an insurer, and experience with public employee defined contribution plans.

• Allows the investment board to contract with only 1 annuity provider if that provider is determined to be in participants' interests or if only 1 provider meets the selection criteria.

• Requires the investment board to notify legislative leaders within 30 days if selecting only 1 annuity provider and prohibits selection if no provider meets requirements; triggers a new competitive process within 60 days if none qualify.

• Takes effect 120 days after enactment, contingent upon the enactment of House Bill 4188 of the 101st Legislature.