Executive Director Update: Payment Schedule Change + Coming IT Modernization

I want to let you know about a change that affects ATRS retirees, but this change illustrates the need for some future actions that will benefit all of our members.

Every year in December, we publicize our payment schedule for the following year. It shows the monthly dates on which most retirees can expect to see their ATRS deposit in their bank account. For 2025, we adjusted the schedule to make it more consistent and predictable from month to month. But our changes resulted in pay dates on the last day of several months, including January.

We quickly heard from many of you that this move was a problem. If you have bill payments automatically drafted on the 28^th or 29^th of the month, having your deposit show up on the 30^th can result in overdraft fees or other complications.  

To address your concerns, our staff worked to revise the payment schedule for the rest of 2025. It’s not as easy as it sounds – sending out more than 57,000 direct deposits each month is a complex process, and it affects many other processes we do each month that each have their own timelines and limitations (things like tax payments and Cash Balance Account withdrawals). And we have to coordinate all this between our ATRS staff and systems, our bank, our investment custodian, and the State Treasury.

But you spoke, and we listened. With the new schedule we have adopted, the payment effective date for each month will be no later than the 27^th. Our revised payment schedule is:

• February 26, 2025
• March 24, 2025
• April 24, 2025
• May 27, 2025
• June 23, 2025
• July 24, 2025
• August 25, 2025
• September 25, 2025
• October 27, 2025
• November 24, 2025
• December 22, 2025

You can always find the current payment schedule by going to our website at https://www.artrs.gov/ and clicking on “Calendar.”

 

COMING SOON: ATRS TECHNOLOGY MODERNIZATION

Our IT systems and technology are a key part of virtually everything we do. This includes sending out retiree payments. It also includes recording contributions and service credit for active members working in our public schools.

We are beginning to modernize our systems so that we can continue to provide you exceptional customer service. Many members don’t realize that the software we use to maintain member records and process payments is more than 20 years old. It was created in-house by a team of programmers, some of whom still work for ATRS. Building our own system saved ATRS money in the 2000s, but the system is starting to show its age.

We still have functions that our staff must do manually or on paper because the system is not built to handle them. Making changes in our work often requires us to reprogram the system to handle the changes. And when we hire younger employees, it can be difficult for them to adapt to software that is almost as old as they are.

Last fall, we brought in some outside experts to conduct a technology assessment for us. They helped us identify some of the gaps and needs in our present technology (like the paper-based work I mentioned above). They also identified some foundational needs that have to be addressed first, before we can look at upgrading or replacing our main membership system.

Over the next year we will be investing money and personnel in modernizing our systems and our IT infrastructure. We have some aging equipment and tools that need to be replaced. This will address some of those foundational needs that our outside experts identified.

We also know that our IT team is understaffed. We have asked the state’s Office of Personnel Management for three new positions so that we can hire more IT employees to work in cybersecurity, technology infrastructure, and user training. The ATRS IT team has done an incredible job despite being understaffed, and we're going to get them the resources that they need to be even more effective.

One thing I've learned in talking with directors from other retirement systems around the country is that technology modernization is both expensive and time-consuming, but it can be worth it. This is not a short-term project; it will be at least a 5-year effort for ATRS. I expect that you will see improvements in the upcoming years, including improvements in our online member portal and an update of our website.

As we go through this effort, I will keep you updated on what we are doing and how everything unfolds. We have many decisions to make this year, and I am always glad to hear your feedback and suggestions. Please feel free to send your thoughts to me at MarkW@artrs.gov.

 

LEGISLATIVE UPDATES

The Legislature will soon be hearing the retirement bills that affect ATRS. The good news is that so far, none of them represent a threat to ATRS independence or our benefits. You can find more information on our website including a summary of our ATRS 2025 legislative package. And if you would like to subscribe to my weekly email updates about the legislative session, go to the following link and enter your email address to subscribe: https://www.artrs.gov/sign-up-for-legislative-updates

 

ANNUAL FINANCIAL REPORT

We recently issued the Annual Comprehensive Financial Report for 2024. It includes detailed financial, investment, and actuarial information about ATRS and how we did in the 2024 fiscal year. You can find it on the Publications page of our website at this link: https://www.artrs.gov/Publications/ATRS_2024_Annual_Report.pdf

As always, if you ever have a question about your retirement options or need information or advice, please reach out to our counselors by calling (501) 682-1517 or e-mailing info@artrs.gov.

Mark White
Executive Director, ATRS
MarkW@artrs.gov
Office: (501) 621-8853
Cell: (501) 541-2057

ATRS Legislative Update: Week 5 (Feb. 10-14)

This week saw some movement in bills related to ATRS and the other retirement systems. The ATRS appropriation bill, SB66, passed both the Senate and House with no opposing votes. It is now on the Governor's desk awaiting her signature. On Tuesday, the Joint Public Retirement Committee heard several bills from two of the state's other retirement systems and gave a "do pass" recommendation to all but one of them. On Wednesday, HB1365 failed to pass the House State Agencies & Governmental Affairs Committee. This is the bill that would remove the requirements for minority representation on the ATRS Board and other state boards and commissions. It is still possible that bill could be brought back up at a future committee meeting for consideration.

Next Tuesday the 18th, the Committee is scheduled to hear the seven bills in the ATRS Legislative Package. The Legislature's actuary is finalizing his review of the bills, and his reports should be posted to the Legislature's website by Monday. Our own actuaries have already reviewed the bills and determined that none of the bills will result in any material cost to ATRS. You can review a summary of the seven bills on the ATRS website here.

As a reminder, all of the Committee's meetings are live-streamed. You can watch Tuesday's meeting by going to the Legislature's website, scrolling down to the entry for Joint Public Retirement Committee under Tuesday, February 18, and click on the "Video" button on the right. The meeting isn't listed on the website at the time of my writing this email, but it should be listed there by Monday. The meeting will begin after the House and Senate adjourn for the day on Tuesday. That could be anytime after 2pm that day.

In last week's email, I discussed our possible concerns with HB1352 and its restrictions on investments in China. We are still having ongoing discussions with the Governor's Office, the sponsors, and the other retirement systems. I am still cautiously optimistic that the bill will be amended to address our concerns. If that changes, I will let you know at once.

If you have questions about how a bill may impact ATRS, or if you are concerned about something ATRS is proposing, please reach out to me at the email address or phone number below.

Also, if you are receiving this email as a forward and would like to be added to the distribution list, you can subscribe to these legislative updates here.

Mark White
ATRS Executive Director
MarkW@artrs.gov
Office: (501) 621-8853
Cell: (501) 541-2057