(a) (1) July 1 of each year, retirants, survivors, participants in the Teacher Deferred Retirement Option Plan, and annuity beneficiaries who have been receiving monthly benefits for the previous twelve (12) months shall receive a simple cost of living adjustment.
(2) The cost of living adjustment under this section is calculated by multiplying one hundred percent (100%) of the member's base retirement annuity times three percent (3%).
(3) The redetermined amount shall not be less than the base amount.
(4) As used in this section, "base amount" means the amount of the benefit payable at retirement plus any one-time increases granted by legislative change after the member's effective date of retirement benefits, excluding the simple cost of living adjustment under this section.
(5) The redetermined amount under this subsection is not considered a benefit enhancement under the limitations under ยง 24-1-106.
(b) (1) Effective July 1, 2013, the Board of Trustees of the Arkansas Teacher Retirement System may modify the amount of the benefit stipend from a maximum of seventy-five dollars ($75.00) per month to not less than one dollar ($1.00) per month for eligible benefit participants as a benefit supplement in addition to the cost of living adjustment under subsection (a) of this section.
(2) A benefit stipend increase or decrease adopted by the board shall apply to a complete fiscal year and shall remain in effect until adjusted by the board subject to the limitations under subdivision (b)(4) of this section.
(3) The board may adjust the benefit stipend amount by resolution at a meeting of the board.
(4) The board shall not reduce the benefit stipend unless the Arkansas Teacher Retirement System's actuary certifies to the board that the amortization period exceeds thirty (30) years and that in order to address an amortization period in excess of thirty (30) years to pay unfunded liabilities of the Arkansas Teacher Retirement System, the board determines that the stipend should be reduced.
(c) Nothing contained in this section shall require the Arkansas Public Employees' Retirement System to pay any portion of the benefits provided for in this section.
Section: Previous 24-7-706 24-7-707 24-7-708 24-7-709 24-7-710 24-7-711 24-7-712 24-7-713 24-7-714 24-7-715 24-7-718 24-7-719 24-7-720 24-7-725 24-7-726 NextLast modified: November 15, 2016