SB 25-028: Public Employees' Retirement Association Risk-Reduction Measures - Colorado

Revised (03/07/2025) → PA1 (02/12/2025) · 4 edits

MODERATE

This bill revision removes the Senate's second reading status and replaces it with a preamended version that includes committee amendments not yet adopted. The document structure has been updated to reflect that this is an unofficial version pending further legislative action.

TECHNICAL

Header status changed from 'Revised' (Second Reading adopted) to 'Preamended' (Committee amendments pending adoption)

Removed Senate committee sponsorship names (Kolker and Winter F., Kipp, Snyder, Bridges, Coleman, Cutter, Jodeh, Marchman, Michaelson Jenet) while keeping House sponsors

Removed '2nd Reading Unamended' date stamp (March 7, 2025) and replaced with 'Preamended' status

Removed '3rd Reading Unamended' date stamp (February 18, 2025) and replaced with 'Amended 2nd Reading' status (February 14, 2025)

Rerevised (03/10/2025) → Revised (03/07/2025) · 3 edits

MINOR

The bill's header was updated from 'Rerevised' to 'Revised' with a slightly more detailed description of the amendment process. A new Section 3 was added containing a safety clause, which is a standard legislative finding declaring the bill necessary for public safety or state operations. No substantive policy changes to the bill's scope, funding, or requirements were identified in this diff.

TECHNICAL

Added a new Section 3 containing a standard safety clause finding that the bill is necessary for public peace, health, safety, or state appropriations.

Removed the '3rd Reading Unamended' date stamp and House sponsorship list formatting changes, likely due to versioning updates.

Updated the document header from 'REREVISED' to 'REVISED' with expanded text describing the amendment adoption process.

Final Act (03/19/2025) → Rerevised (03/10/2025) · 4 edits

MODERATE

This bill updates requirements for the Public Employees' Retirement Association (PERA) to conduct actuarial studies and audits on a stricter four-year schedule instead of five years, and adds a new requirement for an independent review of those audits. The changes aim to improve oversight of PERA's financial planning by ensuring actuarial studies and audits are aligned and reviewed by independent experts.

Scope change

The bill's scope remains focused on PERA's financial oversight but expands the frequency and independence of reviews.

TIMELINE

Changed the actuarial experience study schedule from every five years to every four years, starting in 2025.

Changed the periodic actuarial audit schedule from every five years to every four years, starting in 2026.

REQUIREMENT

Added a requirement for an independent review of the periodic actuarial audit by experts not affiliated with PERA, beginning in 2027.

Added a requirement that the periodic actuarial audit must consider the results of the most recent actuarial experience study.

Signed Act (03/26/2025) → Final Act (03/19/2025) · 3 edits

MINOR

This bill was finalized and prepared for signature, with minor formatting corrections to the title and sponsor list. The substantive policy content regarding actuarial audits for the Public Employees' Retirement Association remains unchanged from the signed version.

TECHNICAL

Corrected formatting of the bill title and sponsor list to match standard final act layout.

Fixed a typo in Section 1 where '202E' was corrected to '2026' for the calendar year start of periodic actuarial audits.

Added standard note indicating the bill is prepared for signatures of legislative officers and the Governor.

Reengrossed (02/18/2025) → Signed Act (03/26/2025) · 5 edits · Mar 26, 2025

MODERATE

This bill amends Colorado law to require the Public Employees' Retirement Association (PERA) to conduct actuarial experience studies and periodic actuarial audits on a four-year cycle rather than every five years, starting in 2024 and 2026 respectively. It also establishes a new requirement for the Pension Review Commission to commission independent reviews of these audits by experts not affiliated with PERA, beginning three months after each audit is released. These changes aim to improve oversight of PERA's financial modeling and ensure audit results properly consider recent actuarial findings.

Scope change

The bill expands oversight requirements for PERA by adding new periodic audit review mechanisms and adjusting the frequency of actuarial studies and audits from five years to four years.

TIMELINE

Changed the frequency of actuarial experience studies from every five years to every four years, starting with the 2024 calendar year.

Established that periodic actuarial audits must begin in the 2026 calendar year and occur every four years thereafter.

REQUIREMENT

Added a requirement for the Pension Review Commission to commission independent reviews of PERA's periodic actuarial audits by experts not working on behalf of PERA.

Required that periodic actuarial audits must consider the results and findings of the most recent actuarial experience study conducted in the prior calendar year.

Added a deadline requiring the Pension Review Commission to complete independent reviews within three months of the release of each periodic actuarial audit.

Engrossed (02/14/2025) → Reengrossed (02/18/2025) · 2 edits · Feb 18, 2025

MINOR

The bill was reengrossed to include additional co-sponsors in the Senate and updated the bill summary to reflect that it is now in its third reading unamended version. The substantive policy content of the bill itself does not appear to have changed based on the visible text provided.

TECHNICAL

Added five new Senate co-sponsors: Bridges, Coleman, Cutter, Jodeh, Marchman, and Michaelson Jenet to the existing sponsors Kolker, Winter F., Kipp, and Snyder.

Updated the document header from 'ENGROSSED' to 'REENGROSSED' and revised the bill summary note to indicate this version includes all amendments adopted in the House of Introduction, with a new date of February 18, 2025.

Introduced (01/08/2025) → Engrossed (02/14/2025) · 4 edits · Feb 18, 2025

MODERATE

This bill was amended to clarify the timing and requirements for actuarial studies and audits of the Public Employees' Retirement Association (PERA). The changes shift the start date for actuarial experience studies from 2025 to 2024 and adjust the periodic actuarial audit schedule to begin in 2026. Additionally, the independent review requirement was modified to focus on economic and investment assumptions rather than the audit process itself.

Scope change

The bill's scope was modified to adjust the implementation timeline for actuarial reviews and clarify the focus of the independent review process.

TIMELINE

Changed the start date for the actuarial experience study from 2025 to 2024, and adjusted the periodic actuarial audit to begin in 2026 instead of 2027.

REQUIREMENT

Modified the independent review requirement to focus on analyzing economic and investment assumptions used in financial modeling rather than reviewing how the audit was conducted.

Added explicit requirement that experts conducting the independent review must examine findings from the most recent periodic actuarial audit.

TECHNICAL

Corrected a typo in the periodic review frequency from 'three FOUR years' to 'four years' and adjusted the submission timeline to three months after the audit is completed.

Public Employees' Retirement Association Risk-Reduction Measures

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