contribution rate, calculated without regard for the costs
added by legislation, is more than 3%, 3.5% and 4.5%,
respectively, of the total compensation of all active members
greater than the prior year's final contribution rate, then
the collared contribution rate shall be applied and be equal
to the prior year's final contribution rate increased by 3%,
3.5% and 4.5%, respectively, of total compensation of all
active members. Otherwise, and for all other fiscal years,
the collared contribution rate shall not be applicable. In no
case shall the collared contribution rate be less than 4% of
the total compensation of all active members.
* * *
Section 2. Section 5508(h) of Title 71 is amended to read:
§ 5508. Actuarial cost method.
* * *
(h) Temporary application of collared contribution rate.--
(1) The collared contribution rate for each fiscal year
under paragraph (2) shall be determined by comparing the
actuarially required contribution rate calculated without
regard for costs added by legislation to the prior year's
final contribution rate.
(2) If, for any of the fiscal years beginning July 1,
2011, July 1, 2012, and beginning on or after July 1, 2013,
and ending June 30, 2021, the actuarially required
contribution rate calculated without regard for costs added
by legislation is more than 3%, 3.5% and 4.5%, respectively,
of the total compensation of all active members greater than
the prior year's final contribution rate, then the collared
contribution rate shall be applied and be equal to the prior
year's final contribution rate increased by the respective
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