Vetoed by Governor Mary Fallin

Vote Smart's Synopsis:

Vote to concur with Senate amendments and pass a bill that establishes an optional defined contribution system for state employees, effective November 1, 2013.

Highlights:

• Establishes an optional defined contribution system for an individual first employed by the state or an employer participating in the Oklahoma Public Employees Retirement System on or after July 1, 2014 (Sec. 2).

• Requires an eligible employee to choose between the defined benefit system and the defined contribution system within his or her first 90 days of employment, or otherwise be automatically enrolled in the defined contribution system (Sec. 2).

• Requires an employee’s choice of retirement plan to be permanent and remain in effect for all years of service performed for any and all participating employers in the Oklahoma Public Employees Retirement System (Sec. 2). 

• Requires an employee enrolled in the defined contribution system to contribute a minimum of 3 percent and a maximum of 7 percent of his or her compensation (Sec. 4).

• Requires an employer of an individual who selects the defined contribution system to match his or her contribution paid on a monthly basis (Sec. 5).

• Requires a statewide elected official or legislator whose first service as an elected official occurs on or after July 1, 2014 to participate in the defined contribution system (Sec. 12).

Full Bill Text