Oklahoma House backs minimum state contribution to pension funds
By RANDY KREHBIEL World Staff Writer
OKLAHOMA CITY - A bill setting minimum annual contributions to the state’s existing pension funds passed the state House of Representatives on Thursday despite questions about its feasibility.
House Bill 2646 by Rep. Randy McDaniel, R-Oklahoma City, would require the state to at least meet the actuarially required contribution each year, except in cases of financial emergency.
The actuarially required contribution, or ARC, is the amount deemed necessary to pay existing claims and amortize long-term liabilities.
Most of Oklahoma’s seven public pension funds are underfunded, in large part because the state did not regularly meet annual ARC requirements.