March 14, 2017 - Executive Director Update: The Strength of ATRS

This is a special executive director update to address member concerns about the ATRS Board's legislative package.  Some members incorrectly assume that the package indicates a financial problem.  Actually ATRS is strong and was recently named one of the 6 best teacher retirement plans in the United States by the New York Times.  It has top tier investment returns and some of the very best benefits in the country.  ATRS has weathered many storms and tries to be prepared for anything.  You should expect no less of the ATRS Board.  The greatest strength of ATRS is the preparedness of the ATRS Board.

If you have had concerns about ATRS and the 2017 legislative package, please read this email and the attached five (5) page special executive director update.  Hopefully, it will give insight into the "insurance policy" vision of the ATRS Board to be prepared come what may.  If this update is helpful to you, and you know ATRS members, please share it with them.  ATRS is here to serve you and all ATRS members.  It is our duty and our honor. 

Below is a short summary of what you will find in the special update that is attached. 

The Strength of ATRS

ATRS is now 80 years old.  In 1937, the legislature created ATRS as a method to recruit, retain, and reward career educators and those helping deliver the educational curriculum in Arkansas public schools.  The Arkansas Teacher Retirement System has never been late on paying a retirement benefit to its members and only pays lifetime benefits to retirees.  ATRS has survived several wars, economic downturns, droughts, floods, triumphs, and tragedies.  Its mission and focus is to ensure that the schools have the best of the best available for our children.

The ATRS legislative bill package in the 2017 session is a package designed to allow ATRS to continue fulfilling its mission through a financial crisis in the markets or other economic downturns.  The ATRS Board is determined to protect ATRS and its members by being prepared for whatever may come.  Here are 2 questions that appear to be on members' minds as the session continues.

Question No. 1: Is ATRS financially strong?

Short Answer: Yes.

Question No. 2: Why pass these scary bills unless ATRS is in financial trouble?

Short Answer: ATRS views this bill package as you view purchasing insurance.  You hope and do not expect your house to be damaged in a fire or a tornado.  At the same time, you stay prepared by spending money for insurance to financially protect your home and valuable assets.  The ATRS bill package is essentially an insurance policy to protect the system and allow it to repair damage caused by a financial downturn, accounting changes, or other actuarial events.

Respectfully,

George Hopkins

(501) 682-1820 Office
(501) 318-5998 Cell
georgeh@artrs.gov

 Click on the following document for more information:

1. Strength of ATRS

 

March 10, 2017 - Executive Director Update: ATRS Legislative Package and Week 9 of the General Assembly

The legislative session is at a very busy stage for activity generally and the ATRS legislative package in particular.  ATRS continues to work to answer questions on the legislative package and to prepare amendments to address concerns and issues.   The hard work by the sponsors of the ATRS legislative package is greatly appreciated.  In addition, other legislators have worked hard to help ATRS as bills travel through the legislative process.  On behalf of ATRS and its members, I thank all the members of the General Assembly for the hard work and assistance. 

Week 9 at the General Assembly continued to be very busy and productive on retirement issues.  On Monday, March 6, 2017, ATRS had four (4) package bills up for consideration before the Joint Retirement Committee: SB186 (Multipliers), SB187 (Member Contributions), SB192 (Disability) and HB1287 (Outsourcing).   All four (4) bills received a "DO PASS" out of Committee and have now passed the chamber of introduction and are currently on the calendar of the other chamber for final consideration. SB186, SB187 and SB192 have passed the Senate and are currently on the House calendar.   HB1287 passed the House and is currently on the Senate Calendar. If all four pass the final vote, then 12 bills of ATRS' 20 bill package will have completed the legislative process.

On Monday, March 13, 2017, ATRS will have three (3) bills to be presented in the Joint Retirement Committee:  SB141 (Anti-Spiking), SB185 (CASH Program) and SB205 (Concurrent Reciprocal Service).  ATRS actuaries and the Retirement Committee actuaries still continue to work diligently on cost studies for legislation.  ATRS continues to negotiate amendments and details on the remaining 8 ATRS package bills that remain in the Joint Retirement Committee.  At this time, 6 package bills are law after having completed the legislative process.  Two (2) bills are on the Governor's desk under his review.

Remember the ATRS website allows members to have direct access to specific member account information.  Now approximately 9,700 members have direct account access to individualized account information.  Here is the link to the instructions to sign up: https://www.artrs.gov/welcome.

You can also sign up to obtain these executive director updates through your private email address.  Updates are made throughout the year such as at retirement season and other times when information needs to be shared.  Now, over 14,400 people have signed up to receive this executive director update by direct email delivery.  You can find the link to sign up for email delivery to these updates here: https://www.artrs.gov/login.  It is always a great pleasure for ATRS staff to learn of more ways to provide information to ATRS members, employers, beneficiaries, government officials, and the public.  The ATRS Board is committed to providing a system that is member friendly and transparent. 

You can also get helpful ATRS information on the ATRS Facebook page under the name of Arkansas Teacher Retirement System.  Over 3,300 Facebook users get updates via the ATRS Facebook page.  Go to the Facebook page and "like" ATRS to get daily updates.  I try to go to the Facebook page every day to post information and answer member questions about ATRS.  In addition, if you use Twitter, you can join over 800 others by following events at ATRS and issues of interest on the ATRS Twitter page.  Remember that ATRS is here to serve you! If you have questions, email me or call.

Respectfully,

George Hopkins

(501) 682-1820 Office
(501) 318-5998 Cell
georgeh@artrs.gov

 Click on the following document for more information:

1. Session Update

2. Bill Summary