Arizona Laws 38-863.01. Pension funding policies; employers
A. Each governing body of an employer shall annually:
Terms Used In Arizona Laws 38-863.01
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- Board: means the board of trustees of the system, who are the persons appointed to invest and operate the fund. See Arizona Laws 38-842
- Liabilities: The aggregate of all debts and other legal obligations of a particular person or legal entity.
- Pension: means a series of monthly amounts that are payable to a person who is entitled to receive benefits under the plan but does not include an annuity that is payable pursuant to Section 38-846. See Arizona Laws 38-842
- System: means the public safety personnel retirement system established by this article. See Arizona Laws 38-842
1. Adopt a pension funding policy for the system for employees who were hired before July 1, 2017. The pension funding policy shall include funding objectives that address at least the following:
(a) How to maintain stability of the governing body’s contributions to the system.
(b) How and when the governing body’s funding requirements of the system will be met.
(c) Defining the governing body’s funded ratio target under the system and the timeline for reaching the targeted funded ratio.
2. Formally accept the employer’s share of the assets and liabilities under the system based on the system’s actuarial valuation report.
B. The governing body shall post the pension funding policy on the governing body’s public website and transmit the pension funding policy to the board.