MN HF2584

Limits contribution rate reductions and benefit improvements for statewide and major local Minnesota defined benefit retirement plans until fund assets reach 120 percent of actuarial accrued liability at both market and actuarial values for at least two consecutive years.

Requires post-reduction member and employer contribution rates to equal or exceed the normal cost of the retirement plan, and post-benefit change contribution rates to exceed normal cost plus estimated actuarial cost impact.

Mandates that plan administrators file funding deficiency reports with the Legislative Commission on Pensions and Retirement when fund assets fall below 70 percent of actuarial accrued liability for two consecutive years, with recommendations to address the deficiency.

Makes multiple amendments to contribution rate provisions across various retirement plans (PERA, TRA, judges' retirement) to subject all contribution and benefit changes to the new limitation framework in section 356.2175.

Effective July 1, 2012 for all provisions.