Process to change the investment return assumption for computing joint and survivor annuities establishment

This bill establishes a formal process for updating the investment return assumption used to calculate joint and survivor annuities in Minnesota covered retirement plans. It sets a default investment return assumption of 6.5 percent unless a retirement plan's governing board proposes a different percentage, which requires approval from the Legislative Commission on Pensions and Retirement or automatic approval after one year without commission action. The bill also requires the executive director of the commission to update official actuarial standards whenever an assumption change is approved or deemed approved. These changes will take effect on July 1, 2026, affecting retirement plan administrators and beneficiaries whose annuity calculations depend on investment return assumptions.