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ARIZONA HOUSE OF REPRESENTATIVES57th Legislature, 2nd Regular Session |
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HB 2502: ASRS; retirement; elected officials
Sponsor: Representative Livingston, LD 28
Committee on Appropriations
Overview
Allows an Arizona State Retirement System (ASRS) member who is an elected official and who attains a normal retirement date to retire at any time without terminating the member's position as an elected official.
History
An elected official who is an active, an inactive or a retired member of ASRS or a member of ASRS with a disability is eligible for ASRS service credit for the elected official's service, if the elected official's employer is a participating ASRS employer (A.R.S. § 38-727).
An ASRS member's retirement is deemed to commence on a date elected by the member, which may not be earlier than: 1) the day after the termination of employment; 2) the date ASRS receives the member's completed retirement application; or 3) the date specified by a member who is employed for less than 20 hours per week and attains a normal retirement date and retires without terminating employment. All retirement benefits are normally payable in monthly installments beginning on the commencement of retirement. An ASRS member may elect to cancel the effective date of retirement within 30 days of retirement or before the member's receipt of retirement benefits, whichever is later. Statute requires ASRS employers to pay an alternate contribution rate on behalf of a retired member who returns to work with an ASRS employer in any capacity in a position ordinarily filled by an employee of the employer (A.R.S. §§ 38-766.02, 38-727, 38-764).
Provisions
1. Directs an ASRS employer to pay the alternate contribution rate on behalf of a retired member who attains a normal retirement date and elects to retire without terminating employment in which the member is engaged in less than twenty hours each week and twenty weeks in each fiscal year. (Sec. 1)
2. Requires a member who retires from the system while maintaining employment less than twenty hours each week and twenty weeks in each fiscal year to notify ASRS in writing of the member's retirement without terminating employment. (Sec. 1)
3. Allows an ASRS member who is an elected official and who attains a normal retirement date to retire at any time without terminating the member's position as an elected official. (Sec. 1)
4. Stipulates that a member is deemed a retired member as of the date of retirement. (Sec. 1)
5. Stipulates that the period of employment after retirement is not eligible for purchase of prior public service credit or leave, thus prohibiting the period after retirement from being converted into credited service. (Sec. 1)
6. Prohibits an elected official who retires but maintains their elected position from being eligible for long-term disability and earning service credit. (Sec. 1)
7. Requires a retired member who is employed by a nonelected position in which they are required to make ASRS contributions, to terminate employment in all nonelected positions or reduce the retired member's hours worked to less than twenty hours each week and twenty weeks each fiscal year. (Sec. 1)
8. Requires an ASRS employer to pay the alternate contribution rate on behalf of retired member who is a state elected official. (Sec. 1)
9. Requires an elected official member who retires from the system while maintaining their elected official, and their employer, to notify ASRS in writing of the member's retirement without terminating employment. (Sec. 1)
10. Allows a retired member who attains a normal retirement age to return to work as an elected official and be eligible to receive benefits, regardless of whether the position is subject to term limits. (Sec. 2)
11. Makes technical and conforming changes. (Sec. 1-3)
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15. Initials DS HB 2502
16. 2/18/2026 Page 0 Appropriations
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