BONA FIDE TERMINATION REGULATIONS OF THE DEPARTMENT OF ADMINISTRATION, DIVISION OF RETIREMENT AND BENEFITS ARE ADOPTED


The Commissioner of Administration has adopted regulation changes in Title 2 of the Alaska Administrative Code, dealing with bona fide separation of employment and the tax qualification of the state retirement systems.

The following regulations were adopted on November 22, 2017 and will be effective for members retiring on or after January 1, 2018. These regulations comply with Internal Revenue Code requirements in Section 401(a) (7) requiring specific language that a bona fide separation of employment must occur before retirement benefits may be paid and a defined break in service must be observed before retirees may re-employ with the same employer.

2 AAC 35.227, Public Employees’ Retirement System
2 AAC 36.188, Teachers’ Retirement System
2 AAC 37.015 Judicial Retirement System

Statutory Authority: AS 14.25.005, AS 14.25.110, AS 14.25.150, AS 22.25.010, AS 22.25.027, AS 22.25.041, AS 39.35.005.

Statutes being Implemented, Interpreted, or Made Specific: AS 14.25.110, AS 14.25.125, AS14.25.410, AS 22.010, AS 39.35.370, AS 39.35.381, AS 39.35.385, AS 39.35.810

Fiscal Information: No increased appropriations were adopted.