BEFORE THE PUBLIC EMPLOYEES' RETIREMENT BOARD
OF THE STATE OF MONTANA
In the matter of the amendment of ARM 2.43.3505 pertaining to establishment of long-term disability trust fund
NOTICE OF AMENDMENT
TO: All Concerned Persons
1. On April 16, 2015, the Public Employees' Retirement Board published MAR Notice No. 2-43-525 pertaining to the proposed amendment of the above-stated rule at page 348 of the 2015 Montana Administrative Register, Issue Number 7.
2. The Public Employees' Retirement Board has amended the following rule as proposed, but with the following changes from the original proposal, new matter underlined, deleted matter interlined:
2.43.3505 ESTABLISHMENT OF LONG-TERM DISABILITY TRUST FUND
(1) through (5) remain as proposed.
AUTH: 19-3-2104, 19-3-2141, MCA
IMP: 19-2-504, 19-3-2117, 19-3-2141, MCA
3. The Public Employees' Retirement Board has thoroughly considered the comments and testimony received. A summary of the comments received and the Public Employees' Retirement Board's responses are as follows:
COMMENT #1: A member of the Legislative Services Division noted that the implementation statutes did not include 19-2-504, MCA, Investment of pension trust funds. The changes to the rules concerned long-term disability trust fund investments. They are not mentioned in any of the current implementing statutes under the proposed amended rule.
The commenter also inquired as to who made the determination that the long-term disability plan is an Other Post-Employment Benefit (OPEB).
RESPONSE #1: The board agrees with the comment and has added 19-2-504, MCA, to the implementation statutes.
The board explained that the board's actuary, Cheiron, made the determination that the Defined Contribution long-term disability trust fund is an OPEB. Ice Miller, the board's tax counsel, agreed with the determination.
/s/ Melanie A. Symons /s/ Scott Moore
Melanie A. Symons Scott Moore
Chief Legal Counsel President
and Rule Reviewer Public Employees' Retirement Board
Certified to the Secretary of State June 15, 2015.