1.1.................... moves to amend S.F. No. 2620; H.F. No. 3053, as follows:
1.2Page 25, delete section 1 and insert:

1.3    "Section 1. Minnesota Statutes 2017 Supplement, section 356.215, subdivision 8, is
1.4amended to read:
1.5    Subd. 8. Interest and salary assumptions. (a) The actuarial valuation must use the
1.6applicable following interest investment return assumption:
1.7(1) select and ultimate interest rate assumption
1.8
1.9
 plan
 ultimate interest rate
assumption
1.10
 teachers retirement plan
 8.5%
1.11The select preretirement interest rate assumption for the period through June 30, 2017,
1.12is eight percent.
1.13(2) single rate interest rate assumption
1.14
1.15
1.16
 plan
 interest rate
investment return
assumption
1.17
 general state employees retirement plan
 8 7.5%
1.18
 correctional state employees retirement plan
 8 7.5
1.19
 State Patrol retirement plan
 8 7.5
1.20
1.21
1.22
 legislators retirement plan, and for the
constitutional officers calculation of total plan
liabilities
 0
1.23
 judges retirement plan
 8 7.5
1.24
 general public employees retirement plan
 8 7.5
1.25
 public employees police and fire retirement plan
 8 7.5
1.26
1.27
 local government correctional service retirement
plan
 8 7.5
1.28
 teachers retirement plan
 7.5
1.29
 St. Paul teachers retirement plan
 8 7.5
1.30
 Bloomington Fire Department Relief Association
 6
1.31
1.32
 local monthly benefit volunteer firefighter relief
associations
 5
1.33
1.34
 monthly benefit retirement plans in the statewide
volunteer firefighter retirement plan
 6
1.35(b)(1) If funding stability has been attained, The actuarial valuation for each of the
1.36covered retirement plans listed in section 356.415, subdivision 2, and the St. Paul Teachers
1.37Retirement Fund Association must use a take into account the postretirement adjustment
2.1rate actuarial assumption equal to the postretirement adjustment rate or rates applicable to
2.2the plan as specified in section 354A.29, subdivision 9 7, or 356.415, subdivision 1,
2.3whichever applies.
2.4(2) If funding stability has not been attained, the valuation must use a select postretirement
2.5adjustment rate actuarial assumption equal to the postretirement adjustment rate specified
2.6in section 354A.29, subdivision 8, or 356.415, subdivision 1a, 1b, 1c, 1d, 1e, or 1f, whichever
2.7applies, for a period ending when the approved actuary estimates that the plan will attain
2.8the defined funding stability measure, and thereafter an ultimate postretirement adjustment
2.9rate actuarial assumption equal to the postretirement adjustment rate under section 354A.29,
2.10subdivision 9, or 356.415, subdivision 1, for the applicable period or periods beginning
2.11when funding stability is projected to be attained.
2.12    (c) The actuarial valuation must use the applicable following single rate future salary
2.13increase assumption, the applicable following modified single rate future salary increase
2.14assumption, or the applicable following graded rate future salary increase assumption:
2.15assumptions found in the appendix to the standards for actuarial work adopted by the
2.16Legislative Commission on Pensions and Retirement pursuant to section 3.85, subdivision
2.1710. The appendix must be updated whenever new assumptiuons have been approved or
2.18deemed approved under subdivision 18.
2.19    (1) single rate future salary increase assumption
2.20
 plan
 future salary increase assumption
2.21
 legislators retirement plan
 5%
2.22
 judges retirement plan
 2.75
2.23
 Bloomington Fire Department Relief Association
 4
2.24    (2) age-related future salary increase age-related select and ultimate future salary increase
2.25assumption or graded rate future salary increase assumption
2.26
 plan
 future salary increase assumption
2.27
 local government correctional service retirement plan
 assumption B
2.28
 St. Paul teachers retirement plan
 assumption A
2.29For plans other than the St. Paul teachers
2.30retirement plan and the local government
2.31correctional service retirement plan, the select
2.32calculation is: during the designated select
2.33period, a designated percentage rate is
2.34multiplied by the result of the designated
3.1integer minus T, where T is the number of
3.2completed years of service, and is added to
3.3the applicable future salary increase
3.4assumption. The designated select period is
3.5ten years and the designated integer is ten for
3.6the local government correctional service
3.7retirement plan and 15 for the St. Paul
3.8Teachers Retirement Fund Association. The
3.9designated percentage rate is 0.2 percent for
3.10the St. Paul Teachers Retirement Fund
3.11Association.
3.12    The ultimate future salary increase assumption is:
3.13
 age
 A
 B
3.14
 16
 5.9%
 8.75%
3.15
 17
 5.9
 8.75
3.16
 18
 5.9
 8.75
3.17
 19
 5.9
 8.75
3.18
 20
 5.9
 8.75
3.19
 21
 5.9
 8.5
3.20
 22
 5.9
 8.25
3.21
 23
 5.85
 8
3.22
 24
 5.8
 7.75
3.23
 25
 5.75
 7.5
3.24
 26
 5.7
 7.25
3.25
 27
 5.65
 7
3.26
 28
 5.6
 6.75
3.27
 29
 5.55
 6.5
3.28
 30
 5.5
 6.5
3.29
 31
 5.45
 6.25
3.30
 32
 5.4
 6.25
3.31
 33
 5.35
 6.25
3.32
 34
 5.3
 6
3.33
 35
 5.25
 6
3.34
 36
 5.2
 5.75
3.35
 37
 5.15
 5.75
3.36
 38
 5.1
 5.75
3.37
 39
 5.05
 5.5
4.1
 40
 5
 5.5
4.2
 41
 4.95
 5.5
4.3
 42
 4.9
 5.25
4.4
 43
 4.85
 5
4.5
 44
 4.8
 5
4.6
 45
 4.75
 4.75
4.7
 46
 4.7
 4.75
4.8
 47
 4.65
 4.75
4.9
 48
 4.6
 4.75
4.10
 49
 4.55
 4.75
4.11
 50
 4.5
 4.75
4.12
 51
 4.45
 4.75
4.13
 52
 4.4
 4.75
4.14
 53
 4.35
 4.75
4.15
 54
 4.3
 4.75
4.16
 55
 4.25
 4.5
4.17
 56
 4.2
 4.5
4.18
 57
 4.15
 4.25
4.19
 58
 4.1
 4
4.20
 59
 4.05
 4
4.21
 60
 4
 4
4.22
 61
 4
 4
4.23
 62
 4
 4
4.24
 63
 4
 4
4.25
 64
 4
 4
4.26
 65
 4
 3.75
4.27
 66
 4
 3.75
4.28
 67
 4
 3.75
4.29
 68
 4
 3.75
4.30
 69
 4
 3.75
4.31
 70
 4
 3.75
4.32(3) service-related ultimate future salary increase assumption
4.33
4.34
 general state employees retirement plan of the Minnesota
State Retirement System
 assumption A
4.35
4.36
 general employees retirement plan of the Public
Employees Retirement Association
 assumption B
4.37
 Teachers Retirement Association
 assumption C
4.38
 public employees police and fire retirement plan
 assumption D
5.1
 State Patrol retirement plan
 assumption E
5.2
5.3
 correctional state employees retirement plan of the
Minnesota State Retirement System
 assumption F
5.4
5.5
 service
length
 A
 B
 C
 D
 E
 F
5.6
 1
 10.25%
 11.78%
 12%
 12.75%
 7.75%
 5.75%
5.7
 2
 7.85
 8.65
 9
 10.75
 7.25
 5.6
5.8
 3
 6.65
 7.21
 8
 8.75
 6.75
 5.45
5.9
 4
 5.95
 6.33
 7.5
 7.75
 6.5
 5.3
5.10
 5
 5.45
 5.72
 7.25
 6.25
 6.25
 5.15
5.11
 6
 5.05
 5.27
 7
 5.85
 6
 5
5.12
 7
 4.75
 4.91
 6.85
 5.55
 5.75
 4.85
5.13
 8
 4.45
 4.62
 6.7
 5.35
 5.6
 4.7
5.14
 9
 4.25
 4.38
 6.55
 5.15
 5.45
 4.55
5.15
 10
 4.15
 4.17
 6.4
 5.05
 5.3
 4.4
5.16
 11
 3.95
 3.99
 6.25
 4.95
 5.15
 4.3
5.17
 12
 3.85
 3.83
 6
 4.85
 5
 4.2
5.18
 13
 3.75
 3.69
 5.75
 4.75
 4.85
 4.1
5.19
 14
 3.55
 3.57
 5.5
 4.65
 4.7
 4
5.20
 15
 3.45
 3.45
 5.25
 4.55
 4.55
 3.9
5.21
 16
 3.35
 3.35
 5
 4.55
 4.4
 3.8
5.22
 17
 3.25
 3.26
 4.75
 4.55
 4.25
 3.7
5.23
 18
 3.25
 3.25
 4.5
 4.55
 4.1
 3.6
5.24
 19
 3.25
 3.25
 4.25
 4.55
 3.95
 3.5
5.25
 20
 3.25
 3.25
 4
 4.55
 3.8
 3.5
5.26
 21
 3.25
 3.25
 3.9
 4.45
 3.75
 3.5
5.27
 22
 3.25
 3.25
 3.8
 4.35
 3.75
 3.5
5.28
 23
 3.25
 3.25
 3.7
 4.25
 3.75
 3.5
5.29
 24
 3.25
 3.25
 3.6
 4.25
 3.75
 3.5
5.30
 25
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.31
 26
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.32
 27
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.33
 28
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.34
 29
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.35
 30 or more
 3.25
 3.25
 3.5
 4.25
 3.75
 3.5
5.36    (d) The actuarial valuation must use the applicable following payroll growth assumption
5.37for calculating the amortization requirement for the unfunded actuarial accrued liability
5.38where the amortization retirement is calculated as a level percentage of an increasing payroll:
6.1
 plan
 payroll growth assumption
6.2
6.3
 general state employees retirement plan of the Minnesota
State Retirement System
 3.5%
6.4
 correctional state employees retirement plan
 3.5
6.5
 State Patrol retirement plan
 3.5
6.6
 judges retirement plan
 2.75
6.7
6.8
 general employees retirement plan of the Public
Employees Retirement Association
 3.5
6.9
 public employees police and fire retirement plan
 3.5
6.10
 local government correctional service retirement plan
 3.5
6.11
 teachers retirement plan
 3.75
6.12
 St. Paul teachers retirement plan
 4
6.13    (e) (d) The assumptions set forth in paragraphs (c) and (d) the appendix to the standards
6.14for actuarial work continue to apply, unless a different salary assumption or a different
6.15payroll increase assumption:
6.16    (1) has been proposed by the governing board of the applicable retirement plan;
6.17    (2) is accompanied by the concurring recommendation of the actuary retained under
6.18section 356.214, subdivision 1, if applicable, or by the approved actuary preparing the most
6.19recent actuarial valuation report if section 356.214 does not apply; and
6.20    (3) has been approved or deemed approved under subdivision 18."