Bill > SB28

This bill provides teachers and public employees who first became members of the defined contribution retirement plan after June 30, 2006, an opportunity to return to the defined benefit retirement plan under certain conditions. The bill allows these members to make a one-time election to switch back to the defined benefit plan if they are reemployed by an employer after July 1, 2025, and meet specific criteria, such as not having fully withdrawn their previous retirement account. For those who elect to return to the defined benefit plan, their previous defined contribution account balance will be used to purchase credited service in the new plan on an actuarial equivalent basis. The bill also modifies various aspects of both retirement systems, including contribution rates, medical benefits, cost-of-living adjustments, and eligibility requirements for retirement and medical coverage. Specifically for members who first became part of the system after June 30, 2006, the bill introduces some changes that may result in slightly reduced benefits compared to longer-standing members, such as lower cost-of-living increases and different retirement age requirements. The bill is designed to provide more flexibility for employees while also managing the long-term financial sustainability of the state's retirement systems, with a planned implementation date of July 1, 2025.

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https://www.akleg.gov/basis/Bill/Detail/34?Root=SB28