HB1328
To Increase The Maximum Number Of Years Of Participation In The Arkansas State Police Officers Deferred Option Plan And The Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan.
AI-Generated Summary
This bill, House Bill 1328, aims to amend existing Arkansas law regarding deferred retirement options for state police officers. Specifically, it seeks to increase the maximum duration of participation in two specific plans: the Arkansas State Police Officers Deferred Option Plan (Tier One) and the Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan. Currently, participation in both these plans is capped at seven years. The proposed legislation would raise this cap to ten years for active state police officers. This change applies to the relevant sections of the Arkansas Code governing these retirement plans. The bill's stated purpose is to facilitate longer participation in these deferred option plans for eligible state police officers. It also includes a generic "and for other purposes" clause common in legislative texts.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries of this bill would be active state police officers in Arkansas who are participants in either the Arkansas State Police Officers Deferred Option Plan (Tier One) or the Arkansas State Police Officers' Tier Two Deferred Retirement Option Plan. By increasing the maximum participation period from seven years to ten years, these officers would have the opportunity to defer more of their income for a longer duration, potentially leading to greater tax advantages and a larger retirement nest egg over time. This extension allows them to benefit from the plan's provisions for an additional three years.
Who Might Suffer?
This bill is unlikely to have directly negative impacts on any specific groups or entities. The changes primarily affect the structure and duration of a voluntary retirement option for a specific class of public employees. While the state's long-term financial obligations related to retirement plans could be marginally affected by individuals participating for longer periods, this impact is not described as inherently negative within the bill's text. The bill focuses on offering an extended benefit to a defined group rather than imposing new costs or restrictions on others.