Author: Linda Chambers
Last saved by: Jonita Thomas

RBH No. 6709

ENGROSSED HOUSE
JOINT
RESOLUTION NO. 1027	By:	McDaniel (Randy) of the House

				and

		Mazzei of the Senate

A Joint Resolution directing the Secretary of State to refer to the people for their approval or rejection a proposed amendment to the Constitution of the State of Oklahoma by adding a new Section 13 to Article XXIII; imposing duty on Legislature with respect to funding sources for retirement and pension systems; imposing requirement for actuarial investigation; prohibiting enactment of laws violative of certain restriction governing plan assets; imposing duty of care with respect to investment of funds; providing ballot title; and directing filing.

BE IT RESOLVED BY THE HOUSE OF REPRESENTATIVES AND THE SENATE OF THE 2ND SESSION OF THE 54TH OKLAHOMA LEGISLATURE:
SECTION 1.  The Secretary of State shall refer to the people for their approval or rejection, as and in the manner provided by law, the following proposed amendment to the Constitution of the State of Oklahoma by adding a new Section 13 to Article XXIII thereof, to read as follows:
Section 13.  A.  To control the future obligations of the state, it shall be the duty of the Legislature to define adequate and predictable funding sources and standards required for the adoption of new benefit improvements for all state retirement or pension systems supported wholly or partially from public funds.  In addition, the Legislature shall obtain a professional actuarial investigation for proposed laws designed to increase public pension benefits and costs under such practices as provided by law.
B.  The Legislature shall not enact any legislation with respect to a public retirement system that would violate the provisions of a law applicable to tax-qualified pension plans if such a law would constitute a prohibited diversion of plan assets.
C.  The investments made by the public retirement systems shall be made with the care, skill and diligence under the circumstances then prevailing that a prudent person acting in a like capacity would make.
SECTION 2.  The Ballot Title for the proposed Constitutional amendment as set forth in SECTION 1 of this resolution shall be in the following form:
BALLOT TITLE
Legislative Referendum No. ____	State Question No. ____
THE GIST OF THE PROPOSITION IS AS FOLLOWS:
This measure would amend the Oklahoma Constitution.  It would add a new Section 13 to Article 23.  This section is related to the state public retirement systems.  It would create requirements in the Oklahoma Constitution for these public retirement systems.  The Legislature would be required to establish standards to adequately fund public pension systems to control future state obligations.  It would require the Legislature to have proposed laws that could affect a retirement system reviewed by a professional actuary.  The Legislature could not enact a law that would violate tax-qualification provisions that prohibit using retirement plan assets for something other than benefit payments.  Public pension plan assets would be subject to the prudent investor rule.
SHALL THE PROPOSAL BE APPROVED?
FOR THE PROPOSAL — YES	_____________
AGAINST THE PROPOSAL — NO 	_____________
SECTION 3.  The Chief Clerk of the House of Representatives, immediately after the passage of this resolution, shall prepare and file one copy thereof, including the Ballot Title set forth in SECTION 2 hereof, with the Secretary of State and one copy with the Attorney General.
Passed the House of Representatives the 12th day of March, 2014.

	
	Presiding Officer of the House
	of Representatives

Passed the Senate the ___ day of __________, 2014.

	
	Presiding Officer of the Senate

ENGR. H. J. R. NO. 1027	Page