SB 183: "An Act repealing the defined contribution retirement plans for teachers and for public employees; making conforming amendments; and providing for an effective date."
00 SENATE BILL NO. 183 01 "An Act repealing the defined contribution retirement plans for teachers and for public 02 employees; making conforming amendments; and providing for an effective date." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 14.25.008 is repealed and reenacted to read: 05 Sec. 14.25.008. Definitions. In AS 14.25.001 - 14.25.008, 06 (1) "plan" means a retirement plan established under AS 14.25.009 - 07 14.25.220; 08 (2) "system" means the Teachers' Retirement System of Alaska. 09 * Sec. 2. AS 14.25.009 is repealed and reenacted to read: 10 Sec. 14.25.009. Defined benefit retirement plan under AS 14.25.009 - 11 14.25.220. AS 14.25.009 - 14.25.220 set out a defined benefit retirement plan as the 12 teachers' retirement plan. 13 * Sec. 3. AS 14.25.040(a) is amended to read: 14 (a) Unless a teacher or member participates in a university retirement program
01 under AS 14.40.661 - 14.40.799, has filed an election under AS 14.25.043(b), or has 02 elected under former AS 14.25.540 to participate in the plan established in former 03 AS 14.25.310 - 14.25.590, a teacher or member contracting for service with a 04 participating employer is subject to AS 14.25.009 - 14.25.220. 05 * Sec. 4. AS 14.25.143(a), as that subsection read following amendment by sec. 3, ch. 146, 06 SLA 1980, until amended by sec. 12, ch. 106, SLA 1988, as amended by sec. 18, ch. 9, 07 FSSLA 2005, is amended to read: 08 (a) When the administrator determines that the cost of living has increased and 09 that the financial condition of the retirement fund permits, the administrator shall 10 increase benefit payments to persons receiving benefits under this plan. [FOR 11 PURPOSES OF THIS SUBSECTION, THE FINANCIAL CONDITION OF THE 12 FUND WOULD ONLY PERMIT AN INCREASE IN BENEFITS WHEN THE 13 RATIO OF TOTAL FUND ASSETS TO THE ACCRUED LIABILITY MEETS OR 14 EXCEEDS 105 PERCENT. IN THIS SUBSECTION, "ACCRUED LIABILITY" 15 MEANS THE PRESENT VALUE OF ALL MEMBER BENEFITS ACCRUED BY 16 MEMBER SERVICE IN THIS PLAN.] 17 * Sec. 5. AS 14.25.143(a), as that subsection read following amendment by sec. 12, ch. 106, 18 SLA 1988, until amended by sec. 12, ch. 97, SLA 1990, as amended by sec. 19, ch. 9, FSSLA 19 2005, is amended to read: 20 (a) When the administrator determines that the cost of living has increased and 21 that the financial condition of the retirement fund permits, the administrator shall 22 increase benefit payments to persons receiving benefits under this plan. [FOR 23 PURPOSES OF THIS SUBSECTION, THE FINANCIAL CONDITION OF THE 24 FUND WOULD ONLY PERMIT AN INCREASE IN BENEFITS WHEN THE 25 RATIO OF TOTAL FUND ASSETS TO THE ACCRUED LIABILITY MEETS OR 26 EXCEEDS 105 PERCENT. IN THIS SUBSECTION, "ACCRUED LIABILITY" 27 MEANS THE PRESENT VALUE OF ALL MEMBER BENEFITS ACCRUED BY 28 MEMBER SERVICE IN THIS PLAN.] 29 * Sec. 6. AS 14.25.220(1) is amended to read: 30 (1) "active member" means a member who is employed by an 31 employer, is receiving compensation on a full-time or part-time basis and is making
01 contributions to the plan, or a member making contributions under former 02 AS 14.20.330 or 14.20.345; 03 * Sec. 7. AS 14.40.671(e) is amended to read: 04 (e) An employee whose rights to transfer assets out of a state retirement 05 system are subject to a qualified domestic relations order is entitled to transfer assets 06 from the state retirement system to a university retirement program only if the 07 requirements for receiving a refund under AS 14.25.150(b), former AS 14.25.360 08 [14.25.360], AS 39.35.200(c), or former AS 39.35.760 [39.35.760], as appropriate, 09 are met. 10 * Sec. 8. AS 14.40.799(3) is amended to read: 11 (3) "contribution account" means the member contribution account 12 under AS 14.25.009 - 14.25.220, the individual account under former AS 14.25.310 - 13 14.25.590, the employee contribution account under AS 39.35.095 - 39.35.680, or the 14 individual account under former AS 39.35.700 - 39.35.990, whichever is appropriate; 15 * Sec. 9. AS 37.10.220(a) is amended to read: 16 (a) The board shall 17 (1) hold regular and special meetings at the call of the chair or of at 18 least five members; meetings are open to the public, and the board shall keep a full 19 record of all its proceedings; 20 (2) after reviewing recommendations from the Department of 21 Revenue, adopt investment policies for each of the funds entrusted to the board; 22 (3) determine the appropriate investment objectives for the defined 23 benefit plans established under the teachers' retirement system under AS 14.25 and the 24 public employees' retirement system under AS 39.35; 25 (4) assist in prescribing the policies for the proper operation of the 26 systems and take other actions necessary to carry out the intent and purpose of the 27 systems in accordance with AS 37.10.210 - 37.10.390; 28 (5) provide a range of investment options and establish the rules by 29 which participants can direct their investments among those options with respect to 30 accounts established under 31 (A) former AS 14.25.340 - 14.25.350 (teachers' retirement
01 system defined contribution individual accounts); 02 (B) AS 39.30.150 - 39.30.180 (State of Alaska Supplementary 03 Annuity Plan); 04 (C) former AS 39.35.730 - 39.35.750 (public employees' 05 retirement system defined contribution individual accounts); and 06 (D) AS 39.45.010 - 39.45.060 (public employees' deferred 07 compensation program); 08 (6) establish the rate of interest that shall be annually credited to each 09 member's individual contribution account in accordance with AS 14.25.145 and 10 AS 39.35.100 and the rate of interest that shall be annually credited to each member's 11 account in the health reimbursement arrangement plan under AS 39.30.300 - 12 39.30.495; the rate of interest shall be adopted on the basis of the probable effective 13 rate of interest on a long-term basis, and the rate may be changed from time to time; 14 (7) adopt a contribution surcharge as necessary under AS 39.35.160(c); 15 (8) coordinate with the retirement system administrator to have an 16 annual actuarial valuation of each retirement system prepared to determine system 17 assets, accrued liabilities, and funding ratios and to certify to the appropriate 18 budgetary authority of each employer in the system 19 (A) an appropriate contribution rate for normal costs; and 20 (B) an appropriate contribution rate for liquidating any past 21 service liability; 22 (9) review actuarial assumptions prepared and certified by a member 23 of the American Academy of Actuaries and conduct experience analyses of the 24 retirement systems not less than once every four years, except for health cost 25 assumptions, which shall be reviewed annually; the results of all actuarial assumptions 26 prepared under this paragraph shall be reviewed and certified by a second member of 27 the American Academy of Actuaries before presentation to the board; 28 (10) contract for an independent audit of the state's actuary not less 29 than once every four years; 30 (11) contract for an independent audit of the state's performance 31 consultant not less than once every four years;
01 (12) obtain an external performance review to evaluate the investment 02 policies of each fund entrusted to the board and report the results of the review to the 03 appropriate fund fiduciary; 04 (13) by the first day of each regular legislative session, report to the 05 governor, the legislature, and the individual employers participating in the state's 06 retirement systems on the financial condition of the systems in regard to 07 (A) the valuation of trust fund assets and liabilities; 08 (B) current investment policies adopted by the board; 09 (C) a summary of assets held in trust listed by the categories of 10 investment; 11 (D) the income and expenditures for the previous fiscal year; 12 (E) the return projections for the next calendar year; 13 (F) one-year, three-year, five-year, and 10-year investment 14 performance for each of the funds entrusted to the board; and 15 (G) other statistical data necessary for a proper understanding 16 of the financial status of the systems; 17 (14) submit quarterly updates of the investment performance reports to 18 the Legislative Budget and Audit Committee; and 19 (15) develop an annual operating budget. 20 * Sec. 10. AS 37.10.390(4) is amended to read: 21 (4) "retirement systems" or "systems" means the teachers' retirement 22 system, the judicial retirement system, the Alaska National Guard and Alaska Naval 23 Militia retirement system, the public employees' retirement system, the former State 24 of Alaska Teachers' and Public Employees' Retiree Health Reimbursement 25 Arrangement Plan, and the elected public officers' retirement system under former 26 AS 39.37. 27 * Sec. 11. AS 39.30.090(a) is amended to read: 28 (a) The Department of Administration may obtain a policy or policies of group 29 insurance covering state employees, persons entitled to coverage under AS 14.25.168, 30 former AS 14.25.480 [14.25.480], AS 22.25.090, AS 39.35.535, former 31 AS 39.35.880 [39.35.880], or former AS 39.37.145, employees of other participating
01 governmental units, or persons entitled to coverage under AS 23.15.136, subject to the 02 following conditions: 03 (1) A group insurance policy shall provide one or more of the 04 following benefits: life insurance, accidental death and dismemberment insurance, 05 weekly indemnity insurance, hospital expense insurance, surgical expense insurance, 06 dental expense insurance, audiovisual insurance, or other medical care insurance. 07 (2) Each eligible employee of the state, the spouse and the unmarried 08 children chiefly dependent on the eligible employee for support, and each eligible 09 employee of another participating governmental unit shall be covered by the group 10 policy, unless exempt under regulations adopted by the commissioner of 11 administration. 12 (3) A governmental unit may participate under a group policy if 13 (A) its governing body adopts a resolution authorizing 14 participation, and payment of required premiums; 15 (B) a certified copy of the resolution is filed with the 16 Department of Administration; and 17 (C) the commissioner of administration approves the 18 participation in writing. 19 (4) In procuring a policy of group health or group life insurance as 20 provided under this section or excess loss insurance as provided in AS 39.30.091, the 21 Department of Administration shall comply with the dual choice requirements of 22 AS 21.86.310, and shall obtain the insurance policy from an insurer authorized to 23 transact business in the state under AS 21.09, a hospital or medical service corporation 24 authorized to transact business in this state under AS 21.87, or a health maintenance 25 organization authorized to operate in this state under AS 21.86. An excess loss 26 insurance policy may be obtained from a life or health insurer authorized to transact 27 business in this state under AS 21.09 or from a hospital or medical service corporation 28 authorized to transact business in this state under AS 21.87. 29 (5) The Department of Administration shall make available bid 30 specifications for desired insurance benefits or for administration of benefit claims and 31 payments to (A) all insurance carriers authorized to transact business in this state
01 under AS 21.09 and all hospital or medical service corporations authorized to transact 02 business under AS 21.87 who are qualified to provide the desired benefits; and (B) to 03 insurance carriers authorized to transact business in this state under AS 21.09, hospital 04 or medical service corporations authorized to transact business under AS 21.87, and 05 third-party administrators licensed to transact business in this state and qualified to 06 provide administrative services. The specifications shall be made available at least 07 once every five years. The lowest responsible bid submitted by an insurance carrier, 08 hospital or medical service corporation, or third-party administrator with adequate 09 servicing facilities shall govern selection of a carrier, hospital or medical service 10 corporation, or third-party administrator under this section or the selection of an 11 insurance carrier or a hospital or medical service corporation to provide excess loss 12 insurance as provided in AS 39.30.091. 13 (6) If the aggregate of dividends payable under the group insurance 14 policy exceeds the governmental unit's share of the premium, the excess shall be 15 applied by the governmental unit for the sole benefit of the employees. 16 (7) A person receiving benefits under AS 14.25.110, AS 22.25, 17 AS 39.35, or former AS 39.37 may continue the life insurance coverage that was in 18 effect under this section at the time of termination of employment with the state or 19 participating governmental unit. 20 (8) A person electing to have insurance under (7) of this subsection 21 shall pay the cost of this insurance. 22 (9) For each permanent part-time employee electing coverage under 23 this section, the state shall contribute one-half the state contribution rate for permanent 24 full-time state employees, and the permanent part-time employee shall contribute the 25 other one-half. 26 (10) A person receiving benefits under AS 14.25, AS 22.25, AS 39.35, 27 or former AS 39.37 may obtain auditory, visual, and dental insurance for that person 28 and eligible dependents under this section. The level of coverage for persons over 65 29 shall be the same as that available before reaching age 65 except that the benefits 30 payable shall be supplemental to any benefits provided under the federal old age, 31 survivors, and disability insurance program. A person electing to have insurance under
01 this paragraph shall pay the cost of the insurance. The commissioner of administration 02 shall adopt regulations implementing this paragraph. 03 (11) A person receiving benefits under AS 14.25, AS 22.25, AS 39.35, 04 or former AS 39.37 may obtain long-term care insurance for that person and eligible 05 dependents under this section. A person who elects insurance under this paragraph 06 shall pay the cost of the insurance premium. The commissioner of administration shall 07 adopt regulations to implement this paragraph. 08 (12) Each licensee holding a current operating agreement for a vending 09 facility under AS 23.15.010 - 23.15.210 shall be covered by the group policy that 10 applies to governmental units other than the state. 11 * Sec. 12. AS 39.30.300 is amended to read: 12 Sec. 39.30.300. State of Alaska Teachers' and Public Employees' Retiree 13 Health Reimbursement Arrangement Plan established. The State of Alaska 14 Teachers' and Public Employees' Retiree Health Reimbursement Arrangement Plan is 15 established for teachers who first become members of the defined contribution plan of 16 the teachers' retirement system under former AS 14.25.310 - 14.25.590 on or after 17 July 1, 2006, and employees of the state, political subdivisions of the state, and public 18 organizations of the state who first become members of the defined contribution plan 19 of the public employees' retirement system under former AS 39.35.700 - 39.35.990 on 20 or after July 1, 2006. 21 * Sec. 13. AS 39.30.380 is amended to read: 22 Sec. 39.30.380. Termination of employment. A person who terminates 23 employment before meeting the eligibility requirements of former AS 14.25.470 or 24 former AS 39.35.870 loses any right to the contributions made on behalf of the person 25 to the teachers' and public employees' retiree health reimbursement arrangement trust 26 fund. If a person returns to employment with a participating employer by 27 December 31 of the year in which the person reaches 65 years of age, the person's 28 account balance shall be restored in the amount recorded on the date of termination 29 from the trust, adjusted for inflation at the rate of the Consumer Price Index for 30 Anchorage, Alaska. The earlier period of employment with a participating employer 31 shall be credited toward eligibility for medical benefits.
01 * Sec. 14. AS 39.30.390 is amended to read: 02 Sec. 39.30.390. Eligibility and reimbursement. Persons who meet the 03 eligibility requirements of former AS 14.25.470 and former AS 39.35.870 are 04 eligible for reimbursements from the individual account established for a member 05 under the plan, except members do not have to retire directly from the system. A 06 person who is the dependent child of an eligible member is eligible for 07 reimbursements if the eligible member and surviving spouse have both died so long as 08 the person meets the definition of dependent child. 09 * Sec. 15. AS 39.30.400 is amended to read: 10 Sec. 39.30.400. Benefits payable from the individual account. (a) The 11 administrator may deduct the cost of monthly premiums from the individual account 12 for retiree major medical insurance on behalf of an eligible person who elected retiree 13 major medical insurance under former AS 14.25.480 or former AS 39.35.880. 14 (b) Upon application of an eligible person, the administrator shall reimburse to 15 the eligible person the costs for medical care expenses as defined in 26 U.S.C. 213(d). 16 Reimbursement is limited to the medical expenses of 17 (1) an eligible member, the spouse of an eligible member, and the 18 dependent children of an eligible member; or 19 (2) a surviving spouse and the dependent children of an eligible 20 member dependent on the surviving spouse. 21 (c) When the member's individual account balance is exhausted, the insurance 22 premium deductions under (a) of this section and the reimbursement of medical care 23 expenses under (b) of this section end. 24 (d) If all eligible persons die before exhausting the member's individual 25 account, the account balance shall revert to the plan. 26 * Sec. 16. AS 39.30.495(3) is amended to read: 27 (3) "compensation" has the meaning given in former AS 14.25.590; 28 * Sec. 17. AS 39.30.495(5) is amended to read: 29 (5) "eligible person" means a person who meets the eligibility 30 requirements of former AS 14.25.470 or former AS 39.35.870; 31 * Sec. 18. AS 39.30.495(6) is amended to read:
01 (6) "employer" has the meaning given in former AS 14.25.590 for 02 employers of teachers in the defined contribution plan established in former 03 AS 14.25.310 - 14.25.590 and has the meaning given in former AS 39.35.990 for 04 employers of public employees in the defined contribution plan established in former 05 AS 39.35.700 - 39.35.990; 06 * Sec. 19. AS 39.30.495(9) is amended to read: 07 (9) "member" means a member of the defined contribution plan of the 08 teachers' retirement system in former AS 14.25.310 - 14.25.590 or a member of the 09 public employees' retirement system in former AS 39.35.700 - 39.35.990; 10 * Sec. 20. AS 39.35.008(2) is repealed and reenacted to read: 11 (2) "plan" means a retirement plan established under AS 39.35.095 - 12 39.35.680; 13 * Sec. 21. AS 39.35.008(3) is repealed and reenacted to read: 14 (3) "system" means the Public Employees' Retirement System of 15 Alaska. 16 * Sec. 22. AS 39.35.095 is repealed and reenacted to read: 17 Sec. 39.35.095. Defined benefit retirement plan under AS 39.35.095 - 18 39.35.680. AS 39.35.095 - 39.35.680 set out a defined benefit retirement plan as the 19 public employees' retirement plan. 20 * Sec. 23. AS 39.35.475(a), as that subsection read following amendment by sec. 34, ch. 21 146, SLA 1980, until amended by sec. 41, ch. 82, SLA 1986, as amended by sec. 112, ch. 9, 22 FSSLA 2005, is amended to read: 23 (a) When the administrator determines that the cost of living has increased and 24 that the financial condition of the retirement fund permits, the administrator shall 25 increase benefit payments to persons receiving benefits under this plan. [FOR 26 PURPOSES OF THIS SUBSECTION, THE FINANCIAL CONDITION OF THE 27 FUND WOULD ONLY PERMIT AN INCREASE IN BENEFITS WHEN THE 28 RATIO OF TOTAL FUND ASSETS TO THE ACCRUED LIABILITY MEETS OR 29 EXCEEDS 105 PERCENT. IN THIS SUBSECTION, "ACCRUED LIABILITY" 30 MEANS THE PRESENT VALUE OF ALL MEMBER BENEFITS ACCRUED BY 31 MEMBER SERVICE IN THIS PLAN.]
01 * Sec. 24. AS 14.25.012(c), 14.25.310, 14.25.320, 14.25.330, 14.25.340, 14.25.345, 02 14.25.350, 14.25.360, 14.25.370, 14.25.380, 14.25.390, 14.25.400, 14.25.410, 14.25.420, 03 14.25.430, 14.25.440, 14.25.450, 14.25.460, 14.25.470, 14.25.480, 14.25.485, 14.25.487, 04 14.25.490, 14.25.500, 14.25.510, 14.25.520, 14.25.530, 14.25.540, 14.25.550, 14.25.560, 05 14.25.570, 14.25.580, 14.25.590; AS 39.35.700, 39.35.710, 39.35.720, 39.35.730, 39.35.740, 06 39.35.750, 39.35.760, 39.35.770, 39.35.780, 39.35.790, 39.35.800, 39.35.810, 39.35.820, 07 39.35.830, 39.35.840, 39.35.850, 39.35.860, 39.35.870, 39.35.880, 39.35.890, 39.35.892, 08 39.35.895, 39.35.900, 39.35.910, 39.35.920, 39.35.930, 39.35.940, 39.35.950, 39.35.955, 09 39.35.960, 39.35.965, 39.35.970, and 39.35.990 are repealed. 10 * Sec. 25. The uncodified law of the State of Alaska is amended by adding a new section to 11 read: 12 RETIREMENT PLAN ELECTION OPTION. (a) A teacher who was hired on or after 13 July 1, 2006, and before the effective date of this section and who is an active member of the 14 defined contribution plan of the teachers' retirement system under former AS 14.25.310 - 15 14.25.590 may make a one-time election before September 1, 2007, or within 90 days after 16 the effective date of this section, whichever is later, to participate in the defined benefit 17 retirement plan under AS 14.25.009 - 14.25.220 and to transfer any contributions, including 18 employer contributions, made to the defined contribution plan before that date. 19 (b) A public employee who was hired on or after July 1, 2006, and before the 20 effective date of this section and who is an active member of the defined contribution plan of 21 the public employees' retirement system under former AS 39.35.700 - 39.35.990 may make a 22 one time election before September 1, 2007, or within 90 days after the effective date of this 23 section, whichever is later, to participate in the defined benefit retirement plan under 24 AS 39.35.095 - 39.35.680 and to transfer any contributions, including employer contributions, 25 made to the defined contribution plan before that date. 26 (c) In this section, "active member" means an employee who is employed by an 27 employer, is receiving compensation for seasonal, permanent full-time, or permanent part- 28 time services, and is making contributions to the defined contribution retirement plan 29 described in (a) or (b) of this section. In this section, "employer" has the meaning given in 30 AS 14.25.590 or AS 39.35.990, as applicable, as those sections read the day before the 31 effective date of sec. 24 of this Act.
01 * Sec. 26. The uncodified law of the State of Alaska is amended by adding a new section to 02 read: 03 RETIREMENT PLAN ELECTION PROCEDURE; REGULATIONS REQUIRED. 04 (a) The election to participate in the defined benefit retirement plan under sec. 25 of this Act 05 must be made in writing on forms and in the manner prescribed by the administrator. Before 06 accepting an election to participate in the defined benefit retirement plan, the administrator 07 shall provide the employee planning on making an election to participate in the defined 08 benefit retirement plan with information, including calculations to illustrate the effect of 09 moving the employee's retirement plan from the defined contribution retirement plan to the 10 defined benefit retirement plan as well as other information to clearly inform the employee of 11 the potential consequences of the employee's election. 12 (b) An election made under sec. 25 of this Act to participate in the defined benefit 13 retirement plan is irrevocable. On making the election, the participant shall be enrolled as a 14 member of the defined benefit retirement plan, the member's participation in the plan shall be 15 governed by the provisions for the defined benefit retirement plan, and the member's 16 participation in the defined contribution retirement plan shall terminate. The participant's 17 enrollment in the defined benefit retirement plan shall be effective the first day of the month 18 after the administrator receives the completed enrollment forms. An election made by an 19 eligible member who is married is not effective unless the election is signed by the 20 individual's spouse. 21 (c) As directed by the participant, the Alaska Retirement Management Board shall 22 transfer or cause to be transferred the appropriate amounts to the designated account. The 23 administrator shall credit the participant with a service credit that is equal to the participant's 24 actual service or the actuarially calculated value of the employer and employee contribution 25 transferred, whichever is less. The board shall establish transfer procedures by regulation, but 26 the actual transfer may not be later than 30 days after the effective date of the member's 27 participation in the defined benefit retirement plan unless the major financial markets for 28 securities available for a transfer are seriously disrupted by an unforeseen event that also 29 causes the suspension of trading on any national securities exchange in the country where the 30 securities were issued. In that event, the 30-day period of time may be extended by a 31 resolution of the board. Transfers are not commissionable or subject to other fees and may be
01 in the form of securities or cash as determined by the board. Securities shall be valued on the 02 date of receipt in the participant's account. 03 (d) In this section, 04 (1) "administrator" means the person appointed or designated by the 05 commissioner of administration under AS 39.35.050 for a public employees' retirement plan 06 and under AS 14.25.003 for a teachers' retirement plan; 07 (2) "board" means the Alaska Retirement Management Board established 08 under AS 37.10.210; 09 (3) "defined benefit retirement plan" means the retirement plan established 10 under 11 (A) AS 14.25.009 - 14.25.220 for a teacher; or 12 (B) AS 39.35.095 - 39.35.680 for a public employee; 13 (4) "defined contribution retirement plan" means the retirement plan 14 established under 15 (A) former AS 14.25.310 - 14.25.590 for a teacher; or 16 (B) former AS 39.35.700 - 39.35.990 for a public employee. 17 * Sec. 27. The uncodified law of the State of Alaska is amended by adding a new section to 18 read: 19 ADOPTION OF REGULATIONS. The commissioner of administration shall proceed 20 immediately to adopt regulations consistent with this Act, but in no event may the regulations 21 take effect before the effective date of sec. 25 of this Act. 22 * Sec. 28. The uncodified law of the State of Alaska is amended by adding a new section to 23 read: 24 INSTRUCTION TO REVISOR OF STATUTES. The revisor of statues shall submit 25 to the Alaska Legislative Council a draft bill making conforming amendments to the statutes 26 of the State of Alaska consistent with this Act to clarify that the teachers' retirement system 27 and the public employees' retirement system consist only of defined benefit plans. 28 * Sec. 29. Sections 26 and 27 of this Act take effect immediately under AS 01.10.070(c).