First Responders Retirement System; establish.

H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~ G3/5
26/HR43/R747
PAGE 1 (RF\KP)

To: State Affairs;
Appropriations A
MISSISSIPPI LEGISLATURE REGULAR SESSION 2026

By: Representative Currie

HOUSE BILL NO. 1032

AN ACT TO CREATE A SEPARATE RETIREMENT SYSTEM FOR FIRST 1
RESPONDERS, INCLUDING LAW ENFORCEMENT OFFICERS, FIREFIGHTERS, 2
EMERGENCY MEDICAL SERVICES PROVIDERS, EMERGENCY MANAGEMENT 3
PERSONNEL, AND PUBLIC SAFETY TELECOMMUNICATORS; TO DEFINE 4
ELIGIBILITY FOR MEMBERSHIP IN THE SYSTEM; TO PROVIDE FOR EMPLOYEE 5
AND EMPLOYER CONTRIBUTIONS TO FUND THE SYSTEM; TO ESTABLISH 6
BENEFITS FOR DISABILITY AND SUPERANNUATION RETIREMENT AND 7
ESTABLISH DEATH BENEFITS; TO ESTABLISH A COST-OF-LIVING ADJUSTMENT 8
(COLA) TIED TO THE CONSUMER PRICE INDEX FOR URBAN WAGE EARNERS AND 9
CLERICAL WORKERS(CPI-W); TO ESTABLISH AN ADMINISTRATIVE BOARD TO 10
ASSIST WITH THE OPERATION OF THE SYSTEM; AND FOR RELATED PURPOSES. 11
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI: 12
SECTION 1. There is established a retirement system for the 13
purpose of providing retirement allowances and other benefits 14
under this chapter for law enforcement officers, firefighters, 15
emergency medical services providers, emergency management 16
personnel, public safety telecommunicators, and their 17
beneficiaries. This retirement system shall be known as the 18
"First Responders Retirement System." The retirement system shall 19
go into operation on July 1, 2026, when contributions by members 20
shall begin and benefits shall become payable. This retirement 21
system is designed to supplement and is in addition to Article 1 22
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 2 (RF\KP)

of the Public Employees' Retirement Law of 1952. Under the terms 23
of this chapter, law enforcement officers, firefighters, emergency 24
medical services providers, emergency management personnel, and 25
public safety telecommunicators shall retain all social security 26
benefits under Article 1 of the Public Employees' Retirement Law 27
of 1952 but shall not be eligible for benefits under Article 3 of 28
that law. This chapter is a substitute for Article 3 of that law 29
and is designed to provide more liberal benefits for law 30
enforcement officers, firefighters, emergency medical services 31
providers, emergency management personnel, and public safety 32
telecommunicators by reason of the dangerous nature of and special 33
risk involved in their employment. 34
SECTION 2. (1) For the purposes of this chapter, the 35
definitions in Section 25-11-5 and Section 25-11-103 shall apply, 36
unless a different meaning is plainly expressed by the context or 37
is provided in subsection (2) of this section. 38
(2) As used in this chapter, the following terms shall have 39
the meanings as defined in this subsection unless the context 40
requires otherwise: 41
(a) "Administrative board" means the board established 42
in Section 18 of this act. 43
(b) "Board" means the Board of Trustees of the Public 44
Employees' Retirement System of Mississippi. 45
(c) "Emergency management personnel" means any 46
full-time employee of the state, or any county, municipality, or 47
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 3 (RF\KP)

political subdivision of the state, whose primary duties involve 48
planning for, coordinating, or supporting emergency management 49
functions under the Mississippi Emergency Management Law, Section 50
33-15-1 et seq., including preparedness response, recovery, 51
mitigation, and emergency operations center activities. 52
(d) "Emergency medical services provider" means a 53
person who is certified by the State Department of Health as one 54
of the types of emergency medical services personnel under Section 55
41-59-1 et seq., and who is employed full time by the state or any 56
county, municipality or other political subdivision of the state. 57
This term also includes 911 dispatchers who are employed full time 58
by the state or any county, municipality or other political 59
subdivision of the state. 60
(e) "Firefighter" means a person who is trained for the 61
prevention and control of loss of life and property from fire or 62
other emergencies, who is assigned to firefighting activity and is 63
required to respond to alarms and perform emergency actions at the 64
location of a fire, hazardous materials or other emergency 65
incident, who is employed full time by the state or any county, 66
municipality or other political subdivision of the state, and who 67
has met the minimum educational and training standards established 68
by the Mississippi Fire Personnel Minimum Standards and 69
Certification Board for permanent, full-time firefighters and has 70
received a certificate from that board. 71
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 4 (RF\KP)

(f) "First responder" means a firefighter, law 72
enforcement officer, emergency medical services provider, 73
emergency management personnel, or public safety telecommunicator. 74
(g) "Law enforcement officer" means any of the 75
following persons who are authorized to carry a firearm while in 76
the performance of their official duties and who have met the 77
minimum educational and training standards established by the 78
Board on Law Enforcement Officer Standards and Training for 79
permanent, full-time law enforcement officers and have received a 80
certificate from that board: 81
(i) Municipal police officers and narcotics 82
agents, but not officers who are engaged only in administrative or 83
civil duties; 84
(ii) Sheriffs and deputy sheriffs, but not deputy 85
sheriffs who are engaged only in administrative or civil duties; 86
(iii) Constables; 87
(iv) Conservation officers of the Department of 88
Wildlife, Fisheries and Parks; 89
(v) Enforcement officers of the Department of 90
Marine Resources; 91
(vi) Agents and inspectors of the Alcoholic 92
Beverage Control Division of the Department of Revenue; 93
(vii) Commercial transportation inspection station 94
employees, enforcement officers, field inspectors, railroad 95
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 5 (RF\KP)

inspectors and other inspectors of the Department of Public 96
Safety; 97
(viii) Capitol Police officers of the Department 98
of Public Safety; 99
(ix) State correctional facility guards and 100
enforcement officers of the Department of Corrections; 101
(x) Municipal or county jail officers, guards and 102
enforcement officers; and 103
(xi) Any other full-time officer or employee of 104
the state or any county, municipality or other political 105
subdivision of the state, not listed in subparagraphs (i) through 106
(x) of this paragraph, who is authorized to carry a firearm while 107
in the performance of his or her official duties and who has met 108
the minimum educational and training standards established by the 109
Board on Law Enforcement Officer Standards and Training for 110
permanent, full-time law enforcement officers and has received a 111
certificate from that board. However, the term "law enforcement 112
officer" does not include any person who is an active member of 113
the Mississippi Highway Safety Patrol Retirement System. 114
(h) "Member" means any person included in the 115
membership of the system as provided in Section 4 of this act. 116
(i) "Public safety telecommunicator" means any 117
full-time employee of the state, or any county, municipality, or 118
other political subdivision of the state, who is engaged in 119
receiving, processing, or dispatching requests for emergency 120
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 6 (RF\KP)

services for a public safety, fire, or emergency medical agency, 121
and who provides or relays emergency-related information by 122
telephone, radio, or other communication systems. 123
(j) "Retirement system" or "system" means the First 124
Responders Retirement System established under this chapter. 125
SECTION 3. (1) The general administration and 126
responsibility for the proper operation of the system and for 127
making this chapter effective are vested in the board and the 128
administrative board, as specified in this chapter. 129
(2) The board shall invest all funds of the system in 130
accordance with Section 25-11-121. 131
(3) The board shall designate an actuary, who shall be the 132
board's technical advisor on matters regarding the operation of 133
the system and shall perform such other duties as are required in 134
connection with the system. 135
(4) At least once in each two-year period, the actuary shall 136
make an actuarial investigation into the mortality, service, 137
withdrawal and compensation experience of the members and 138
beneficiaries of the system, and shall make a valuation of the 139
assets and liabilities of the system. Taking into account the 140
result of the investigation and valuation, the administrative 141
board shall adopt for the system such mortality, service and other 142
tables as shall be deemed necessary. On the basis of those tables 143
that the administrative board adopts, the actuary shall make 144
valuations of the assets and liabilities of the system's funds. 145
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 7 (RF\KP)

(5) The board shall keep such data as necessary for the 146
actuarial valuation of the contingent assets and liabilities of 147
the system and for checking the experience of the system. 148
(6) The board shall determine from time to time the rate of 149
regular interest for use in all calculations. 150
(7) The board shall make payments of retirement benefits 151
under this chapter to members, and to the beneficiaries of those 152
members, by whatever means the board prescribes by regulation to 153
be the most appropriate for the proper and efficient payment of 154
benefits, including, but not limited to, direct deposit to an 155
account with a financial institution that is a participant of the 156
Automated Clearing House designated by the member or beneficiary. 157
The board may provide for alternative means of payment if the 158
member or beneficiary demonstrates that payment by the prescribed 159
means will cause the member or beneficiary undue hardship. 160
(8) Subject to the limitations of this chapter, the board 161
from time to time shall establish rules and regulations for the 162
administration of the system and for the transaction of business. 163
(9) The board shall keep a record of all its proceedings 164
under this chapter. All books, accounts and records shall be kept 165
in the general office of the Public Employees' Retirement System 166
and shall be public records except for individual member records. 167
The Public Employees' Retirement System shall not disclose the 168
name, address or contents of any individual member records without 169
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 8 (RF\KP)

the prior written consent of the individual to whom the record 170
pertains, except as authorized by regulations of the board. 171
(10) The Executive Director of the Public Employees' 172
Retirement System shall serve as the executive director of this 173
system. 174
SECTION 4. (1) Membership in the system shall be open to 175
all persons employed full time as first responders. Membership in 176
the system shall not include any secretarial, clerical, 177
stenographic or administrative employees; however, membership 178
shall include supervisors of first responders, so long as such 179
supervisors meet all criteria in the definition of "first 180
responder" other than the exclusion of persons engaged only in 181
administrative or civil duties. 182
(2) All first responders eligible for membership in the 183
system who were serving in that capacity before July 1, 2026, and 184
are still serving in that capacity on July 1, 2026, shall become 185
members of the system on that date, unless they file with the 186
board before August 1, 2026, on a form prescribed by the board, a 187
notice of election not to be covered in the membership of the 188
system and a duly executed waiver of all present and prospective 189
benefits that otherwise would inure to them on account of their 190
membership in the system. 191
(3) All first responders eligible for membership in the 192
system who are elected or appointed on or after July 1, 2026, 193
shall become members of the system as a condition of their office 194
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 9 (RF\KP)

or employment; however, retirees under the system may return to 195
work as first responders as contributing members of the Public 196
Employees' Retirement System of Mississippi. 197
(4) Membership in the system shall cease by a member 198
withdrawing his or her accumulated contributions, or by a member 199
withdrawing from active service with a retirement allowance, or by 200
the death of the member. 201
SECTION 5. (1) Creditable service on which a member's 202
service or disability retirement benefit is based shall consist of 203
prior service, membership service, and all lawfully credited 204
unused leave as of the date of withdrawal from service, as 205
certified by the employer. Prior service means service performed 206
before July 1, 2026, for which contributions were made to the 207
Public Employees' Retirement System. Membership service means all 208
service for which credit may be allowed under this chapter on and 209
after July 1, 2026. 210
(2) In computing the period of service of a member of the 211
system, any member who served on active duty in the United States 212
Armed Forces shall be entitled to creditable service at no cost 213
for his or her service on active duty in the Armed Forces, 214
provided that the member entered state service after his or her 215
discharge from the Armed Forces. The maximum period for 216
creditable service for all military service as defined in this 217
subsection shall not exceed four (4) years. The member shall 218
furnish proof satisfactory to the board of certification of 219
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 10 (RF\KP)

military service records showing dates of entrance into service 220
and the date of discharge. No creditable service shall be granted 221
for any military service to a member who qualifies for a 222
retirement allowance in another public retirement system 223
administered by the board based in whole or in part on that 224
military service. In no case shall the member receive creditable 225
service if the member received a dishonorable discharge from the 226
United States Armed Forces. 227
(3) (a) Any member of the system whose membership service 228
is interrupted as a result of qualified military service within 229
the meaning of Section 414(u)(5) of the Internal Revenue Code, and 230
who has received the maximum service credit available under 231
subsection (2) of this section, shall receive creditable service 232
for the period of qualified military service that does not qualify 233
as creditable service under subsection (2) of this section upon 234
reentering membership service in an amount not to exceed five (5) 235
years if: 236
(i) The member pays the contributions that he or 237
she would have made to the system if the member had remained in 238
membership service for the period of qualified military service 239
based upon his or her salary at the time his or her membership 240
service was interrupted; 241
(ii) The member returns to membership service 242
within ninety (90) days of the end of his or her qualified 243
military service; and 244
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 11 (RF\KP)

(iii) The employer at the time the member's 245
service was interrupted and to which employment the member returns 246
pays the contributions it would have made into the retirement 247
system for that period based on the member's salary at the time 248
the service was interrupted. 249
(b) The payments required to be made in paragraph 250
(a)(i) of this subsection may be made over a period beginning with 251
the date of return to membership service and not exceeding three 252
(3) times the member's qualified military service; however, in no 253
event shall that period exceed five (5) years. 254
(c) The member shall furnish proof satisfactory to the 255
board of certification of military service showing the date of 256
entrance into qualified service and the date of discharge, as well 257
as proof that the member has returned to active employment within 258
the time specified. 259
(4) With respect to the death of a member that occurs while 260
the member is performing qualified military service within the 261
meaning of Section 414(u) of the Internal Revenue Code: 262
(a) The deceased member's period of qualified military 263
service must be counted for vesting purposes. 264
(b) To the extent required by Section 401(a)(37) of the 265
Internal Revenue Code, the deceased member's survivors are 266
entitled to any additional benefits that the system would provide 267
if the member had resumed employment and then died, such as those 268
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 12 (RF\KP)

purchase rights the deceased member could have exercised under 269
subsection (3) of this section. 270
(5) To the extent required by Section 414(u)(12) of the 271
Internal Revenue Code, a member receiving differential wage 272
payments within the meaning of Section 3401(h)(2) of the Internal 273
Revenue Code from an employer shall be treated as employed by that 274
employer, and the differential wage payment shall be treated as 275
compensation for purposes of applying the limits on an annual 276
addition under Section 415(c) of the Internal Revenue Code. This 277
provision shall be applied to all similarly situated individuals 278
in a reasonably equivalent manner. 279
SECTION 6. (1) The board shall act as custodian of the 280
system, and shall receive to the credit of the system all 281
appropriations, employer and employee contributions to the system, 282
and other funds made available to the system, from any source 283
whatsoever. 284
(2) The employers shall deduct each month from the salary of 285
each member nine percent (9%) of earned compensation, and shall 286
pay the amount so deducted to the board to be credited to the 287
system. Notwithstanding the employee contribution rate specified 288
in this subsection, the board may vary the percentage of employee 289
contribution biennially on the basis of the liabilities of the 290
system for the various allowances and benefits as shown by 291
actuarial valuation. 292
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 13 (RF\KP)

(3) On account of each member, the employer shall pay 293
monthly into the system from funds available an amount equal to a 294
certain percentage of the compensation of each member to be known 295
as the "normal contributions," and an additional amount equal to a 296
percentage of his or her compensation to be known as the "accrued 297
liability contribution." The percentage rate of those 298
contributions shall be fixed biennially by the administrative 299
board on the basis of the liabilities of the system for the 300
various allowances and benefits as shown by the actuarial 301
valuation. 302
(4) From the funds credited to this account, the board shall 303
pay retirements, disability benefits, survivors' benefits, 304
expenses and shall refund contributions as provided in this 305
chapter. The funds of the system shall be maintained as a 306
separate fund, separate from all other funds held by the board and 307
shall be used only for the payment of benefits provided for by 308
this chapter. 309
(5) The board is authorized to deduct two percent (2%) of 310
all employer contributions paid into the system to be transferred 311
to the expense fund of the Public Employees' Retirement System to 312
defray the cost of administering the system created in this 313
chapter. 314
SECTION 7. Each employer shall pick up the member 315
contributions required by Section 6 of this act from all 316
compensation earned on or after July 1, 2026. The contributions 317
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 14 (RF\KP)

so picked up shall be treated as employer contributions in 318
determining tax treatment under the United States Internal Revenue 319
Code and Mississippi Income Tax Code. These contributions shall 320
not be included as gross income of the member until such time as 321
they are distributed or made available. The employer shall pay 322
these member contributions from the same source of funds that is 323
used in paying earnings to the member. The employer may pick up 324
these member contributions by a reduction in the cash salary of 325
the member, or by an offset against a future salary increase, or 326
by a combination of a reduction in salary and offset against a 327
future salary increase. The member contributions so picked up 328
shall be treated for all purposes of the system in the same manner 329
and to the same extent as member contributions. 330
SECTION 8. (1) Upon application of a member or his or her 331
employer, but in no event before termination of state service, any 332
member who has not attained the age of sixty (60) years may be 333
retired by the administrative board, not less than thirty (30) and 334
not more than ninety (90) days next following the date of filing 335
the application, on a disability retirement allowance, if the 336
medical board of the Public Employees' Retirement System, after an 337
evaluation of medical evidence, which may include a physical 338
examination by the medical board, certifies that he or she is 339
mentally or physically incapacitated for the performance of duty, 340
that the incapacity is likely to be permanent, and that the 341
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 15 (RF\KP)

sickness or injury was caused or sustained as a direct result of 342
duty as a first responder on or after July 1, 2026. 343
Upon the application of a member or his employer, any member 344
who is not yet eligible for service retirement benefits and who 345
has had at least eight (8) years of creditable service may be 346
retired by the administrative board, not less than thirty (30) and 347
not more than ninety (90) days next following the date of filing 348
the application, on a disability retirement allowance, if the 349
medical board, after an evaluation of medical evidence, which may 350
include a physical examination by the medical board, certifies 351
that he or she is mentally or physically incapacitated for the 352
further performance of duty, that the incapacity is likely to be 353
permanent, and that he or she should be retired. This disability 354
need not be service connected. 355
(2) Upon retirement for disability, a member shall receive a 356
disability benefit equal to fifty percent (50%) of his or her 357
average compensation for the two (2) years immediately preceding 358
the member's retirement, but not less than any retirement benefits 359
for which the member may be eligible at the date that he or she is 360
granted disability. 361
(3) Once each year during the first five (5) years following 362
retirement of a member on a disability retirement allowance, and 363
once in every period of three (3) years thereafter, the 364
administrative board may, and upon his or her application shall, 365
require any disability retiree who has not yet attained the age of 366
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 16 (RF\KP)

sixty (60) years to undergo a medical examination. The 367
examination shall be made at the place of residence of the retiree 368
or other place mutually agreed upon by the medical board. If any 369
disability retiree who has not yet attained the age of sixty (60) 370
years refuses to submit to any medical examination provided for in 371
this subsection, the retiree's allowance may be discontinued until 372
his or her withdrawal of that refusal, and if the retiree's 373
refusal continues for one (1) year, all his or her rights in that 374
part of the disability benefit provided by employer contributions 375
shall be revoked by the administrative board. 376
(4) If a disability retiree under the age of sixty (60) 377
years is restored to active service at a compensation not less 378
than the retiree's average compensation, his or her disability 379
benefit shall cease, the retiree shall again become a member of 380
the retirement system, and he or she shall contribute thereafter 381
at the same rate he or she paid before disability. Any such prior 382
service certificate on the basis of which his or her service was 383
computed at the time of retirement shall be restored to full force 384
and effect. In addition, upon his or her subsequent retirement, 385
the retiree shall be credited with all creditable service as a 386
member, including the period for which he or she was paid 387
disability benefits. 388
SECTION 9. (1) Any member upon withdrawal from service upon 389
or after attainment of the age of sixty (60) years who has 390
completed at least eight (8) years of creditable service, or any 391
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 17 (RF\KP)

member upon withdrawal from service regardless of age who has 392
completed at least twenty-five (25) years of creditable service, 393
shall be entitled to receive a retirement allowance that shall be 394
payable the first of the month following receipt of the member's 395
application in the office of the executive director of the system, 396
but in no event before withdrawal from service. 397
(2) Any member whose withdrawal from service occurs before 398
attaining the age of sixty (60) years who has completed at least 399
eight (8), but fewer than twenty-five (25) years of creditable 400
service and has not received a refund of the member's accumulated 401
contributions shall be entitled to receive a retirement allowance 402
of the amount earned and accrued at the date of withdrawal from 403
service, beginning upon his or her attaining the age of sixty (60) 404
years. 405
(3) The annual amount of the retirement allowance shall 406
consist of: 407
(a) A member's annuity, which shall be the actuarial 408
equivalent of the accumulated contributions of the member at the 409
time of retirement, computed according to the actuarial table in 410
use by the system; and 411
(b) An employer's annuity, which, together with the 412
member's annuity provided above, shall be equal to two percent 413
(2%) of the average compensation for each year of creditable 414
service up to and including twenty (20) years, and two and 415
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 18 (RF\KP)

one-half percent (2-1/2%) of the average compensation for each 416
year of creditable service exceeding twenty (20) years. 417
(4) Upon retiring from service, a member shall be eligible 418
to obtain retirement benefits as computed in subsection (3) of 419
this section for life, except that the aggregate amount of the 420
employer's annuity shall not exceed more than one hundred percent 421
(100%) of the average compensation, regardless of the years of 422
service. 423
(5) (a) A retiree or beneficiary may, on a form prescribed 424
by and filed with the executive director of the system, 425
irrevocably waive all or a portion of any benefits from the system 426
to which the retiree or beneficiary is entitled. The waiver shall 427
be binding on the heirs and assigns of any retiree or beneficiary 428
and the same must agree to forever hold harmless the system from 429
any claim to the waived retirement benefits. 430
(b) Any waiver under this subsection shall apply only 431
to the person executing the waiver. A beneficiary shall be 432
entitled to benefits according to the option selected by the 433
member at the time of retirement; however, a beneficiary may 434
execute a waiver of benefits under this subsection. 435
(c) The system shall retain all amounts that are not 436
used to pay benefits because of a waiver executed under this 437
subsection. 438
(d) The board may provide rules and regulations for the 439
administration of waivers under this subsection. 440
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 19 (RF\KP)

SECTION 10. (1) Any member who is receiving a retirement 441
allowance for service or disability retirement, or any beneficiary 442
thereof, who has received a monthly benefit for at least one (1) 443
full fiscal year, shall be eligible to receive an additional 444
benefit, on December 1 or July 1 of the year as provided in 445
subsection (4) or (5) of this section, equal to the sum of: 446
(a) An amount equal to a certain percent of the annual 447
retirement allowance, as specified in the last paragraph of this 448
subsection, multiplied by the number of full fiscal years in 449
retirement before the end of the fiscal year in which the member 450
reaches age fifty-five (55), plus 451
(b) An additional amount equal to a certain percent of 452
the annual retirement allowance, as specified in the last 453
paragraph of this subsection, compounded by the number of full 454
fiscal years in retirement beginning with the fiscal year in which 455
the member reaches age fifty-five (55), multiplied by the amount 456
of the annual retirement allowance. 457
The percentage of the annual retirement allowance that shall 458
be used in the calculations made in paragraphs (a) and (b) of this 459
subsection shall be the average Consumer Price Index for Urban 460
Wage Earners and Clerical Workers (CPI-W) for the twelve-month 461
period ending with the preceding June. If the CPI-W is zero or 462
less, there will be no additional benefit paid from the assets of 463
the system. However, for any year in which the CPI-W is zero or 464
less, the Legislature may appropriate or transfer additional funds 465
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 20 (RF\KP)

to the system for the payment of an additional benefit to retired 466
members for that year. 467
(2) The calculation of the beneficiary's additional benefit 468
provided in this section shall be based on the member's age and 469
full fiscal years in retirement as if the member had lived. 470
(3) If a retiree who is receiving a retirement allowance 471
that will terminate upon the retiree's death is receiving the 472
additional benefit in one (1) payment and dies on or after July 1 473
but before December 1, the beneficiary designated on the 474
retirement application, if any, shall receive in a single payment 475
a fractional part of the additional benefit based on the number of 476
months in which a retirement allowance was received during the 477
fiscal year. If there is no surviving beneficiary, payment shall 478
be made in accordance with Section 15(1) of this act. Any similar 479
remaining payments of the additional benefit payable under this 480
section to a deceased beneficiary who was receiving a monthly 481
benefit shall be payable in accordance with Section 15(2) of this 482
act. Likewise, if a retiree is receiving a retirement allowance 483
that will terminate upon the retiree's death in two (2) to six (6) 484
monthly installments, any remaining payments of the additional 485
benefit will be paid in a lump sum to the beneficiary designated 486
on the application, or if none, in accordance with Section 15(1) 487
of this act. If the additional benefit is being received in one 488
(1) payment each year, the additional benefit shall be prorated 489
based on the number of months in which a retirement allowance was 490
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 21 (RF\KP)

received during the fiscal year when (a) the monthly benefit 491
payable to a beneficiary terminates due to the expiration of an 492
option, remarriage or cessation of dependent status or due to the 493
retiree's return to covered employment, and (b) the monthly 494
benefit terminates on or after July 1 and before December 1. 495
(4) The additional benefit provided in this section shall be 496
paid in one (1) payment in December of each year to those persons 497
who are receiving a retirement allowance on December 1 of that 498
year, unless an election is made under subsection (5) of this 499
section. The board, in its discretion, may allow a retired member 500
or a beneficiary thereof who is receiving the additional benefit 501
in one (1) payment each year to have the additional benefit paid 502
in monthly installments if the retired member or beneficiary 503
submits satisfactory documentation that the continued receipt of 504
the additional benefit in one (1) payment each year will cause a 505
financial hardship to the retired member or beneficiary. 506
(5) Retired members or beneficiaries thereof who are 507
receiving a retirement allowance may elect by an irrevocable 508
agreement in writing filed in the office of the Public Employees' 509
Retirement System no less than thirty (30) days before July 1 of 510
any year, to begin receiving the additional benefit provided in 511
this section in twelve (12) equal monthly installments beginning 512
on July 1 of the year. This irrevocable agreement shall be 513
binding on the member and subsequent beneficiaries. Payment of 514
those monthly installments shall not extend beyond the month in 515
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 22 (RF\KP)

which a retirement allowance is due and payable. The board, in 516
its discretion, may allow a retired member or a beneficiary 517
thereof who is receiving the additional benefit in monthly 518
installments to have the additional benefit paid in one (1) 519
payment in December of each year if the retired member or 520
beneficiary submits satisfactory documentation that the continued 521
receipt of the additional benefit in monthly installments will 522
cause financial hardship to the retired member or beneficiary. 523
(6) The additional benefit or benefits provided in this 524
section are for the fiscal year in which they are paid. 525
(7) When a member retires after July 1 and has previously 526
received a retirement allowance for one or more full fiscal years, 527
the retired member shall be eligible immediately for the 528
additional benefit. The additional benefit shall be based on the 529
current retirement allowance and the number of full fiscal years 530
in retirement and shall be prorated and paid in monthly 531
installments based on the number of months a retirement allowance 532
is paid during the fiscal year. 533
(8) The amount provided for under subsection (1)(b) of this 534
section is calculated using the following formula: 535
[(1 + CPI-W)n - 1] x [annual retirement allowance], 536
where "CPI-W" means the average Consumer Price Index for Urban 537
Wage Earners and Clerical Workers for the twelve-month period 538
ending with the preceding June, and n is the number of full fiscal 539
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 23 (RF\KP)

years in retirement beginning with the fiscal year in which the 540
member reaches age fifty-five (55). 541
SECTION 11. (1) Upon the death of any member who has 542
retired from service or disability and who has not elected any 543
other option under Section 12 of this act, the member's spouse 544
shall receive one-half (1/2) of the benefit that the member was 545
receiving, and each child not having attained the age of nineteen 546
(19) years shall receive one-fourth (1/4) of the member's benefit, 547
but not more than one-half (1/2) of the benefits shall be paid for 548
the support and maintenance of two (2) or more children. Upon 549
each child's attaining the age of nineteen (19) years, the child 550
shall no longer be eligible for the benefit, and when all of the 551
children have attained the age of nineteen (19) years, only the 552
spouse shall be eligible for one-half (1/2) of the amount of the 553
member's benefit. The spouse shall continue to be eligible for 554
the benefit in the amount of fifty percent (50%) of the member's 555
retirement benefit as long as the spouse may live. 556
(2) Upon the death of any member who has served the minimum 557
period required for eligibility for retirement under this chapter, 558
the member's spouse and family shall receive all the benefits 559
payable to the member's beneficiaries as if the member had retired 560
at the time of death. Those benefits shall continue to be paid to 561
the spouse for life. The benefits are payable on a monthly basis. 562
(3) The spouse and/or the dependent children of an active 563
member who is killed in the line of performance of duty or dies as 564
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 24 (RF\KP)

a direct result of an accident occurring in the line of 565
performance of duty shall qualify, on approval of the board, for a 566
retirement allowance on the first of the month following the date 567
of the member's death, but not before receipt of application by 568
the board. The spouse shall receive a retirement allowance equal 569
to one-half (1/2) of the average compensation of the deceased 570
member. In addition to the retirement allowance for the spouse, 571
or if there is no surviving spouse, a retirement allowance shall 572
be paid in the amount of one-fourth (1/4) of the average 573
compensation for the support and maintenance of one (1) child or 574
in the amount of one-half (1/2) of the average compensation for 575
the support and maintenance of two (2) or more children. Those 576
benefits shall cease to be paid for the support and maintenance of 577
each child upon the child attaining the age of nineteen (19) 578
years; however, the spouse shall continue to be eligible for the 579
retirement allowance provided for the spouse. Benefits may be 580
paid to a surviving parent or lawful custodian of the children for 581
the use and benefit of the children without the necessity of 582
appointment as guardian. The retirement allowance shall continue 583
to be paid to the spouse for life. 584
(4) All benefits accruing to any child under this chapter 585
shall be paid to the parent custodian of the children or the legal 586
guardian. 587
(5) Children receiving the benefits provided in this section 588
who are permanently or totally disabled shall continue to receive 589
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 25 (RF\KP)

the benefits for as long as the medical board or other designated 590
governmental agency certifies that the disability continues. The 591
age limitation for benefits payable to a child under any provision 592
of this section shall be extended beyond age nineteen (19), but in 593
no event beyond the attainment of age twenty-three (23), as long 594
as the child is a student regularly pursuing a full-time course of 595
resident study or training in an accredited high school, trade 596
school, technical or vocational institute, junior or community 597
college, college, university or comparable recognized educational 598
institution duly licensed by a state. A student child whose 599
birthday falls during the school year (September 1 through June 600
30) is considered not to reach age twenty-three (23) until the 601
July 1 following the actual twenty-third birthday. A full-time 602
course of resident study or training means a day or evening 603
noncorrespondence course that includes school attendance at the 604
rate of a least thirty-six (36) weeks, per academic year or other 605
applicable period with a subject load sufficient, if successfully 606
completed, to attain the educational or training objective within 607
the period generally accepted as minimum for completion, by a 608
full-time day student, of the academic or training program 609
concerned. 610
(6) If all the annuities provided for in this section 611
payable on the account of the death of a member terminate before 612
there has been paid an aggregate amount equal to the member's 613
accumulated contributions standing to the member's credit in the 614
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 26 (RF\KP)

annuity savings account at the time of the member's death, the 615
difference between the accumulated contributions and the aggregate 616
amount of annuity payments shall be paid to the person as the 617
member has nominated by written designation duly executed and 618
filed with the system. If there is no designated beneficiary 619
surviving at termination of benefits, the difference shall be 620
payable according to Section 15(1) of this act. 621
(7) All benefits paid to a spouse or child due to the death 622
of a member before or after retirement shall be paid in accordance 623
with the statutory provisions existing on the date of death. 624
SECTION 12. (1) Upon application for superannuation or 625
disability retirement, any member may elect to receive his or her 626
benefit under Section 8 or 9 of this act, or the member may elect, 627
upon retirement or upon becoming eligible for retirement, to 628
receive the actuarial equivalent, subject to subsection (4) of 629
this section, of his or her retirement allowance in a reduced 630
retirement allowance payable throughout life with the provision 631
that: 632
Option 1. If the retired member dies before he or she has 633
received in annuity payment the value of the member's annuity 634
savings account as it was at the time of his or her retirement, 635
the balance shall be paid to the member's legal representative or 636
to such person as he or she has nominated by written designation 637
duly acknowledged and filed with the board; or 638
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 27 (RF\KP)

Option 2. Upon the retired member's death, his or her 639
reduced retirement allowance shall be continued throughout the 640
life of, and paid to, such person as the member has nominated by 641
written designation duly acknowledged and filed with the board at 642
the time of his or her retirement; or 643
Option 3. Upon the retired member's death, one-half (1/2) of 644
his or her reduced retirement allowance shall be continued 645
throughout the life of, and paid to, such person as the member has 646
nominated by written designation duly acknowledged and filed with 647
the board at the time of his or her retirement, and the other 648
one-half (1/2) of his or her reduced retirement allowance to some 649
other designated beneficiary; or 650
Option 4. Upon the retired member's death, three-fourths 651
(3/4) of his or reduced retirement allowance, or such other 652
specified amount, shall be continued throughout the life of, and 653
paid to, such person as the member has nominated by written 654
designation duly acknowledged and filed with the board of trustees 655
at the time of his or her retirement; or 656
Option 4-A. Upon the retired member's death, one-half (1/2) 657
of his or her reduced retirement allowance, or such other 658
specified amount, shall be continued throughout the life of, and 659
paid to, such person as the member has nominated by written 660
designation duly acknowledged and filed with the board at the time 661
of his or her retirement; or 662
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 28 (RF\KP)

Option 4-B. A reduced retirement allowance shall be 663
continued throughout the life of the retired member, but with the 664
further guarantee of payments to the named beneficiary or 665
beneficiaries or to the estate for a specified number of years 666
certain. If the retired member or the last designated beneficiary 667
receiving annuity payments dies before receiving all guaranteed 668
payments due, the actuarial equivalent of the remaining payments 669
shall be paid to the successors of the retired member under 670
Section 15(1) of this act; or 671
Option 6. Any member who is eligible to retire with an 672
unreduced benefit may select the maximum retirement benefit or an 673
optional benefit as provided in this subsection together with a 674
partial lump-sum distribution. The amount of the lump-sum 675
distribution under this option shall be equal to the maximum 676
monthly benefit multiplied by twelve (12), twenty-four (24) or 677
thirty-six (36) as selected by the member. The maximum retirement 678
benefit shall be actuarially reduced to reflect the amount of the 679
lump-sum distribution selected and further reduced for any other 680
optional benefit selected. The annuity and lump-sum distribution 681
shall be computed to result in no actuarial loss to the system. 682
The lump-sum distribution shall be made as a single payment 683
payable at the time the first monthly annuity payment is paid to 684
the retiree. The amount of the lump-sum distribution shall be 685
deducted from the member's annuity savings account in computing 686
what contributions remain at the death of the retiree and/or a 687
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 29 (RF\KP)

beneficiary. The lump-sum distribution option may be elected only 688
once by a member upon initial retirement and may not be elected by 689
retirees, by members applying for a disability retirement annuity 690
or by survivors. 691
(2) Any member in service who has qualified for retirement 692
benefits may select any optional method of settlement of 693
retirement benefits by notifying the executive director of the 694
system in writing, on a form prescribed by the board, of the 695
option that he or she has selected and by naming the beneficiary 696
of the option and furnishing necessary proof of age. The option, 697
once selected, may be changed at any time before actual retirement 698
or death, but upon the death or retirement of the member, the 699
optional settlement shall be placed in effect upon proper 700
notification to the executive director. 701
(3) No change in the option selected shall be permitted 702
after the member's death or after the member has received his or 703
her first retirement check, except as provided in subsections (4) 704
and (5) of this section. If a member retired on disability is 705
returned to active service, the option previously selected shall 706
be void, and upon subsequent retirement a new option may be 707
selected by the member. 708
(4) Any retired member who is receiving a reduced retirement 709
allowance under Option 2, Option 4 or Option 4-A whose designated 710
beneficiary predeceases him or her, or whose marriage to a spouse 711
who is his or her designated beneficiary is terminated by divorce 712
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 30 (RF\KP)

or other dissolution, may elect to cancel his or her reduced 713
retirement allowance and receive the maximum retirement allowance 714
for life in an amount equal to the amount that would have been 715
payable if the member had not elected Option 2, Option 4 or Option 716
4-A. The election must be made in writing to the office of the 717
executive director of the system on a form prescribed by the 718
board. Any such election shall be effective the first of the 719
month following the date the election is received by the system; 720
however, the election may be applied retroactively for not more 721
than three (3) months but no earlier than the first of the month 722
following the date of the death of the beneficiary. 723
(5) Any retired member who is receiving the maximum 724
retirement allowance for life, or a retirement allowance under 725
Option 1, and who marries after his or her retirement may elect to 726
cancel his or her maximum retirement allowance or Option 1 727
retirement allowance and receive a reduced retirement allowance 728
under Option 2, Option 4 or Option 4-A to provide continuing 729
lifetime benefits to his or her spouse. The election must be made 730
in writing to the office of the executive director of the system 731
on a form prescribed by the board not earlier than the date of the 732
marriage. Any such election shall be effective the first of the 733
month following the date the election is received by the system. 734
However, if a retiree marries or remarries after retirement and 735
elects either Option 2, Option 4 or Option 4-A as provided in this 736
subsection, the actuarial equivalent factor used to compute the 737
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 31 (RF\KP)

reduced retirement allowance shall be the factor for the age of 738
the retiree and his or her beneficiary at the time that the 739
election for recalculation of benefits is made. 740
(6) If a retiree and his or her eligible beneficiary, if 741
any, both die before they have received in annuity payments a 742
total amount equal to the accumulated contributions standing to 743
the retiree's credit in the annuity savings account at the time of 744
his or her retirement, the difference between the accumulated 745
contributions and the total amount of annuities received by them 746
shall be paid to such persons as the retiree has nominated by 747
written designation duly executed and filed in the office of the 748
executive director of the system. If no designated person 749
survives the retirant and his or her beneficiary, the difference, 750
if any, shall be paid according to Section 15(1) of this act. 751
SECTION 13. (1) All persons who are covered by this chapter 752
on July 1, 2026, and who become members of the retirement system 753
under Section 4(2) of this act shall cease to be members of the 754
Public Employees' Retirement System under Section 25-11-101 et 755
seq., on July 1, 2026, and shall become members of this retirement 756
system with full credit for all prior service performed before 757
July 1, 2026, for which contributions were made to the Public 758
Employees' Retirement System. 759
(2) For each first responder who has been a member of the 760
Public Employees' Retirement System under Section 25-11-101 et 761
seq., and has made contributions thereto, all employee 762
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 32 (RF\KP)

contributions and interest to the credit of that person shall be 763
transferred by the Public Employees' Retirement System to the 764
credit of the person in the retirement system established by this 765
chapter, and shall be considered an asset to the credit of that 766
person in this retirement system. 767
SECTION 14. (1) If a member of the system ceases to work as 768
a first responder for any reason other than occupational disease 769
contracted or for any accident sustained by the member by reason 770
of his or her service or discharge of his or her duties as a first 771
responder, and if the member is not eligible for retirement either 772
for service or disability, he or she shall be refunded the amount 773
of the member's total contributions under this chapter, including 774
any credit transferred to his or her account in this system from 775
any other system, at the member's request, and if he or she dies 776
before retirement, those funds shall be refunded to any 777
beneficiary that the member has named. If there is no surviving 778
designated beneficiary, the contributions to the credit of the 779
deceased member shall be refunded according to Section 15(1) of 780
this act. 781
(2) Under the Unemployment Compensation Amendments of 1992 782
(Public Law 102-218(UCA)), a member or the spouse of a member who 783
is an eligible beneficiary eligible for a refund under this 784
section may elect, on a form prescribed by the board under rules 785
and regulations established by the board, to have an eligible 786
rollover distribution of accumulated contributions payable under 787
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 33 (RF\KP)

this section paid directly to an eligible retirement plan, as 788
defined under applicable federal law, or an individual retirement 789
account. If the member or the spouse of a member who is an 790
eligible beneficiary makes that election and specifies the 791
eligible retirement plan or individual retirement account to which 792
the distribution is to be paid, the distribution will be made in 793
the form of a direct trustee-to-trustee transfer to the specified 794
eligible retirement plan. A nonspouse beneficiary may elect to 795
have an eligible rollover distribution paid in the form of a 796
direct trustee-to-trustee transfer to an individual retirement 797
account established to receive the distribution on behalf of the 798
nonspouse beneficiary. Flexible rollovers under this subsection 799
shall not be considered assignments under Section 19 of this act. 800
(3) If any member who receives a refund reenters service as 801
a first responder and again becomes a member of the system, he or 802
she may repay all amounts previously received by him or her as a 803
refund, together with regular interest covering the period from 804
the date of refund to the date of repayment; however, the amounts 805
that are repaid by the member and the creditable service related 806
thereto shall not be used in any benefit calculation or 807
determination until the member has remained a contributor to the 808
system for a period of at least eight (8) years after such 809
member's reentry into service as a first responder. Repayment for 810
that time shall be made in increments of not less than one-quarter 811
(1/4) year of creditable service beginning with the most recent 812
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 34 (RF\KP)

service for which refund has been made. Upon the repayment of all 813
or part of that refund and interest, the member shall again 814
receive credit for the period of creditable service for which full 815
repayment has been made to the system. 816
SECTION 15. (1) Except as otherwise provided in subsection 817
(2) of this section, where benefits are payable to a designated 818
beneficiary or beneficiaries under this chapter, and the 819
designated beneficiary or beneficiaries as provided by the member 820
on the most recent form filed with the system are deceased or 821
otherwise disqualified at the time the benefits become payable, 822
the following persons, in descending order of precedence, shall be 823
eligible to receive the benefits: 824
(a) The surviving spouse of the member or retiree; 825
(b) The children of the member or retiree or their 826
descendants, per stirpes; 827
(c) The brothers and sisters of the member or retiree 828
or their descendants, per stirpes; 829
(d) The parents of the member or retiree; 830
(e) The executor or administrator on behalf of the 831
member or retiree's estate; 832
(f) The persons entitled by law to distribution of the 833
member or retiree's estate. 834
(2) Any monthly benefits payable to a beneficiary who dies 835
before cashing his or her final check(s) and/or any additional 836
benefits payable under Section 10 of this act still payable at the 837
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 35 (RF\KP)

death of a beneficiary receiving monthly benefits shall be paid as 838
follows: 839
(a) The surviving spouse of the beneficiary; 840
(b) The children of the beneficiary or their 841
descendants, per stirpes; 842
(c) The brothers and sisters of the beneficiary or 843
their descendants, per stirpes; 844
(d) The parents of the beneficiary; 845
(e) The executor or administrator on behalf of the 846
beneficiary's estate; 847
(f) The persons entitled by law to distribution of the 848
beneficiary's estate. 849
(3) If no claim is made by any individual listed in 850
subsection (2) of this section, a distribution may be made under 851
subsection (1) of this section. 852
(4) Payment under this section shall bar recovery by any 853
other person of the benefits distributed. Payment of benefits 854
made to one or more members of a class of individuals are made on 855
behalf of all members of the class. Any members of the class 856
coming forward after payment is made must look to those who 857
received the payment. 858
SECTION 16. Subject to the rules adopted by the board, the 859
system shall accept an eligible rollover distribution or a direct 860
transfer of funds from another eligible retirement plan, as 861
defined under applicable federal law, or an individual retirement 862
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 36 (RF\KP)

account, in payment of all or a portion of the cost to purchase 863
optional service credit or to reinstate previously withdrawn 864
service credit as permitted by the system. The system may only 865
accept rollover payments in an amount equal to or less than the 866
balance due for purchase or reinstatement of service credit. The 867
rules adopted by the board shall condition the acceptance of a 868
rollover or transfer from another eligible retirement plan or an 869
individual retirement account on the receipt of information 870
necessary to enable the system to determine the eligibility of any 871
transferred funds for tax-free rollover treatment or other 872
treatment under federal income tax law. 873
SECTION 17. Regular interest shall be credited annually to 874
the mean amount of the employee reserve account for the preceding 875
year. This credit shall be made annually from interest and other 876
earnings on the invested assets of the system. Any additional 877
amount required to meet the regular interest on the funds of the 878
system shall be charged to the employer's accumulation account, 879
and any excess of earnings over the regular interest required 880
shall be credited to the employer's accumulation account. Regular 881
interest shall mean such percentage rate of interest compounded 882
annually as determined by the board. Once that interest is 883
credited, it shall be added to the sum of all amounts deducted 884
from the compensation of a member and shall be included in 885
determining his or her total contributions. 886
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 37 (RF\KP)

SECTION 18. There is established an administrative board for 887
the system, which shall consist of one (1) active or retired 888
member of the system from each of the following eight (8) 889
organizations: 890
(a) Mississippi Sheriffs' Association; 891
(b) Mississippi Deputy Sheriffs' Association; 892
(c) Mississippi Association of Chiefs of Police; 893
(d) Mississippi Police Benevolent Association; 894
(e) Mississippi Law Enforcement Officers Association; 895
(f) Professional Firefighters Association of 896
Mississippi; 897
(g) Mississippi Fire Chiefs Association; 898
(h) Mississippi Fire Fighters Association. 899
The administrative board, with the approval of the Attorney 900
General, may adopt any and all regulations necessary for the 901
efficient, orderly and successful operation of this chapter, not 902
inconsistent herewith. 903
SECTION 19. (1) The right of a person to an annuity, a 904
retirement allowance or benefit, or to the return of 905
contributions, or to any optional benefits or any other right 906
accrued or accruing to any person under this chapter, the system 907
and the monies in the system created by this chapter, are exempt 908
from any state, county or municipal ad valorem taxes, income 909
taxes, premium taxes, privilege taxes, property taxes, sales and 910
use taxes or other taxes not so named, notwithstanding any other 911
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 38 (RF\KP)

provision of law to the contrary, and exempt from levy and sale, 912
garnishment, attachment or any other process whatsoever, and shall 913
be unassignable except as specifically provided otherwise in this 914
chapter. 915
(2) Any retired member or beneficiary receiving a retirement 916
allowance or benefit under this chapter may authorize the Public 917
Employees' Retirement System to make deductions from the 918
retirement allowance or benefit for the payment of employer- or 919
system-sponsored group life or health insurance. The deductions 920
authorized under this subsection shall be subject to rules and 921
regulations adopted by the board. 922
SECTION 20. (1) The maintenance of actuarial reserves for 923
the various allowances and benefits under this chapter, and the 924
payment of all annuities, retirement allowances, refunds and other 925
benefits granted under this chapter are made obligations of the 926
system. All income, interest and dividends derived from deposits 927
and investments authorized by this chapter shall be used for the 928
payment of the obligations of the system. 929
(2) If the system is terminated, all members of the system 930
as of the date of termination of the system shall be deemed to 931
have a vested right to benefits to the same extent and in the same 932
manner that rights would be vested under the laws existing as of 933
the date of termination of the system. However, any member who 934
has not fulfilled the requirements for length of service because 935
of a termination of the system shall be entitled to compensation 936
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 39 (RF\KP)

as of the date that the member would otherwise be eligible. That 937
compensation shall be computed on the basis of the time that he or 938
she was actually a member of the system and the compensation that 939
he or she actually earned during the time that he or she was a 940
member, in the manner provided by this chapter. 941
If there is a deficit in the availability of funds for 942
payment due under the provisions of the system, an appropriation 943
shall be made by the Legislature that is sufficient for the 944
payment thereof, as an obligation of the State of Mississippi. 945
(3) Notwithstanding any provisions of this chapter to the 946
contrary, the maximum annual retirement allowance attributable to 947
the employer contributions payable by the system to a member shall 948
be subject to the limitations set forth in Section 415 of the 949
Internal Revenue Code and any regulations issued thereunder as 950
applicable to governmental plans as that term is defined under 951
Section 414(d) of the Internal Revenue Code. 952
(4) Notwithstanding any other provision of this system, the 953
maximum compensation that can be considered for all system 954
purposes shall not be greater than that allowed under Section 955
401(a)(17) of the Internal Revenue Code. 956
(5) Notwithstanding any other provision of this system, all 957
distributions from this system shall conform to the regulations 958
issued under Section 401(a)(9) of the Internal Revenue Code, 959
applicable to governmental plans, as defined in Section 414(d) of 960
the Internal Revenue Code, including the incidental death benefit 961
H. B. No. 1032 *HR43/R747* ~ OFFICIAL ~
26/HR43/R747
PAGE 40 (RF\KP)
ST: First Responders Retirement System;
establish.
provisions of Section 401(a)(9)(G) of the Internal Revenue Code. 962
Further, those regulations shall override any system provision 963
that is inconsistent with Section 401(a)(9) of the Internal 964
Revenue Code. 965
(6) The board is authorized to provide by rule or regulation 966
for the payment of benefits as provided under this act to members 967
or beneficiaries of the system at a time and under circumstances 968
not otherwise provided for in this act to the extent that the 969
payment is required to maintain the system as a qualified 970
retirement plan for purposes of federal income tax laws. 971
(7) The actuarial assumptions used to convert a retirement 972
allowance from the normal form of payment to an optional form of 973
payment shall be an appendix to this chapter and subject to 974
approval by the board based upon certification by the actuary. 975
SECTION 21. Sections 1 through 20 of this act shall be 976
codified as a separate chapter in Title 25, Mississippi Code of 977
1972. 978
SECTION 22. This act shall take effect and be in force from 979
and after July 1, 2026. 980