Arkansas Administrative Code
Agency 088 - Arkansas Teacher Retirement System
Rule 088.00.17-003 - Rule 9-4: Disability Retirement

i. Termination of active membership for disability retirement benefits shall be the last date of any employer payment to the member due to the end of the employee/employer relationship.

ii. The member is considered active if they are using earned sick leave, Family Medical Leave Act (FMLA) leave, annual leave and catastrophic leave. Worker's compensation, which may or may not include the use of leave granted by the employer, is not considered leave by which a member is considered active, nor does it extend the date of active membership.

i. The following criteria and deadlines, applied to the individual member circumstances, affect eligibility for continued disability payments for a member who has been approved by ATRS for disability retirement, based upon the date of the first ATRS disability retirement check. The deadlines may be extended under the provisions of this Rule and A.C.A. § 24-7-704.

ii. ATRS will grant an extension to the above deadlines if the member can provide documentation to ATRS that:

iii. Once the member who is receiving disability retirement reaches 60 years of age, the member thereafter will receive regular retirement benefits as if voluntarily retired under A.C.A. § 24-7-701 and no Social Security Administration determination letter is required.

iv. A member may apply for an additional review of a disability claim within three (3) months of disability benefits ceasing due to a denial letter and finding by the Social Security Administration that the member is not disabled. The member's disability claim review will follow the procedure set forth in A.C.A. § 24-7-704.

i. A member may be employed by an ATRS-covered employer and also receive ATRS disability retirement from ATRS if the member meets the specific criteria in A.C.A. § 24-7-704 for providing services to a covered employer. There are two (2) distinct employment situations outlined below. See also A.C.A. § 24-7-701 which prohibits a member from receiving disability retirement if the member performs work for an ATRS covered employer as an independent contractor in certain circumstances.The two (2) distinct employment situations for simultaneous employment with a ATRS-covered employer and receipt of an ATRS disability retirement are:

ii. If a member is approved for disability retirement but continues to work for the covered employer (directly or indirectly), the member must terminate employment with the covered employer or indirect employer by the proposed disability retirement effective date or up to two (2) full calendar months after the Medical Committee meets if the member is wrapping up final work for which the member is paid to receive disability retirement.

iii. If the member does not terminate employment under the Rules and A.C.A. § 24-7-502, the application is rescinded and the member can reapply.

iv. A member may choose to return to regular employment with an ATRS-covered employer after receiving ATRS disability retirement and, after return to employment, forego their disability retirement. In this instance, the member would no longer receive disability retirement and would be an active member. See A.C.A. § 24-7-738 for specific criteria that applies under the law (Act 549 of 2017).

i. For all disability retirement applications approved by the Medical Committee after May 31, 2011, in accordance with rule making authority granted to the ATRS Board under A.C.A. § 24-7-706(a)(3), the Board shall allow a disability retiree at the time of retirement to designate an Option A or Option B beneficiary. Option C beneficiaries shall not be available to disability retirees.

ii. If a disability retiree designates an Option A or Option B spouse beneficiary, and the disability retiree dies before reaching age 60, then the same rules that apply to active member option beneficiaries shall apply to the disability Option A and Option B beneficiaries under A.C.A. § 24-7-710(b).

iii. If a disability retiree designates an Option A or Option B incapacitated child beneficiary, and the disability retiree dies before reaching age 60, then the same rules that apply to an active member surviving child shall apply to the disability Option A or Option B beneficiary under A.C.A. § 24-7-710(c) until the disability retiree would have turned age 60, then the Option A or Option B incapacitated child beneficiary shall receive the greater of the surviving child annuity under A.C.A. § 24-7-710(c) or the Option A spouse annuity under A.C.A. § 24-7-710(a).