Employer contribution rates for members and retirees of the Elected Officials Retirement Plan will rise substantially due to legislation signed this afternoon by Governor Doug Ducey.
Now law, Senate Bill 1478, effectively creates a 61.5 percent employer contribution rate for all active members EORP by requiring contribution rates to be determined by actuarial analysis. This replaces the former static employer contribution rate of 23.5 percent that actuaries warned was insufficient to sustain the elected officials retirement plan.
The new employer contribution rate goes into effect July 1, 2018.
The elected officials pension, which also covers members of the judiciary, was closed to new members in 2013. Those hired since then become members of the Elected Officials Defined Contribution Retirement Plan or the Arizona State Retirement System.