PUBLIC EMPLOYER PENSION CONTRIBUTIONS

Plain English Breakdown

The official source material does not provide details about the amount of additional payments required or the exact financial impacts, leaving these points as unknowns.

Public Employer Pension Contributions

This act sets minimum employer contribution rates for the teachers' retirement system and the Public Employees' Retirement System of Alaska.

What This Bill Does

• Sets a rule that employers must pay at least enough to cover their normal costs in pension plans.
• Requires employers to contribute an amount based on past service liabilities as certified by law.

Who It Names or Affects

• Public school teachers and employees of the state of Alaska who are part of these retirement systems.

Terms To Know

Employer normal cost

The amount an employer must pay to cover current pension costs for their workers.

Past service liability

Money owed by the employer for benefits earned before changes in contribution rates were made.

Limits and Unknowns

• Does not specify how much more employers will have to pay.
• The exact impact on state finances is unclear without knowing current and future pension costs.

Official Summary Text

PUBLIC EMPLOYER PENSION CONTRIBUTIONS
An Act relating to employer contribution rates in the teachers' retirement system and the Public Employees' Retirement System of Alaska; and providing for an effective date.

Current Bill Text

SB0081B -1- CSSB 81(L&C)
New Text Underlined [DELETED TEXT BRACKETED]

34-LS0110\N

CS FOR SENATE BILL NO. 81(L&C)

IN THE LEGISLATURE OF THE STATE OF ALASKA

THIRTY-FOURTH LEGISLATURE - SECOND SESSION

BY THE SENATE LABOR AND COMMERCE COMMITTEE

Offered: 2/11/26
Referred: Finance

Sponsor(s): SENATOR STEDMAN
A BILL

FOR AN ACT ENTITLED

"An Act relating to employer contribution rates in the Public Employees' Retirement 1
System of Alaska; and providing for an effective date." 2
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 3
* Section 1. AS 39.35.255(d) is amended to read: 4
(d) Notwithstanding (a) of this section, the annual employer contribution rate 5
may not be less than the rate sufficient to allow payment of 6
(1) the employer normal cost; 7
(2) an amount calculated at the rate certified under 8
AS 37.10.220(a)(8) for liquidating past service liability of the plan; and 9
(3) the employer contributions required under AS 39.30.370 and 10
AS 39.35.750. 11
* Sec. 2. This Act takes effect immediately under AS 01.10.070(c). 12