Allocation of insurance premium tax — Apportionments

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  1. (a)

    1. (1)

      1. (A) The premium taxes collected under § 24-11-301 shall be placed in a fund combined with the premium taxes collected pursuant to § 24-11-809.

      2. (B) The combined fund shall be entitled the “Firemen's and Police Officers' Pension and Relief Fund”.

      3. (C) The Firemen's and Police Officers' Pension and Relief Fund shall consist of a “fire portion” and a “police portion”.

    2. (2) The remaining revenues collected under §§ 23-60-102, 24-11-301, 24-11-809, 26-57-601 — 26-57-605, and 26-57-607 shall be distributed to the Firemen's and Police Officers' Pension and Relief Fund and to the State of Arkansas as general revenues.

    3. (3) Revenues distributed to the State of Arkansas as general revenues are subject to the allocations under § 24-11-215.

  2. (b) The allocation of funds between the Firemen's and Police Officers' Pension and Relief Fund and the General Revenue Fund Account under this section is subject to the following conditions:

    1. (1) The Arkansas Fire and Police Pension Review Board shall review annually the distribution of funds to each qualified city, town, or fire protection district made in the previous calendar year before disbursing funds to an area qualified under § 24-11-214;

    2. (2) The board shall consider as part of the annual assessment of the allocation of the disbursement of funds under § 24-11-214:

      1. (A) The certification of a new city, town, or fire protection district for participation in the Firemen's and Police Officers' Pension and Relief Fund;

      2. (B)

        1. (i) A change in the legal description of a city, town, or fire protection district.

        2. (ii) A change in the legal description of a city, town, or fire protection district shall be reported to the board annually by December 15; and

      3. (C) A population change that is caused by a change in the legal description of a city, town, or fire protection district;

    3. (3)

      1. (A) The total population of a city, town, or fire protection district that is qualified to participate in the Firemen's and Police Officers' Pension and Relief Fund shall be determined by a census population assessment in the city, town, or fire protection district.

      2. (B) The population of a city, town, or fire protection district shall be determined by the Census State Data Center at the Arkansas Economic Development Institute at the University of Arkansas at Little Rock;

    4. (4) The legal description of the metes and bounds of a city, town, or fire protection district shall be:

      1. (A) Based on:

        1. (i) The standard physical features of the area; or

        2. (ii) Boundaries that are determined by a Global Positioning System survey if the legal description of the metes and bounds of a city, town, or fire protection district cannot be based on the standard physical features of the area; and

      2. (B) Determined by:

        1. (i) A surveyor licensed in Arkansas;

        2. (ii) A preexisting map maintained by the city, town, or fire protection district; or

        3. (iii) The Geographic Information Systems Applications Laboratory located in the Donald W. Reynolds Center for Business and Economic Development at the University of Arkansas at Little Rock;

    5. (5)

      1. (A) The preferred legal description of the metes and bounds of a city, town, or fire protection district shall be based on the standard physical features of the area.

      2. (B) A local department shall change the description of the metes and bounds of the department to the standard physical features of the area.

      3. (C) In the case of a fire department, the county quorum court shall determine the description of the standard physical features of the area if the local chief cannot make the determination; and

    6. (6) The accuracy of the metes and bounds legal description of a city, town, or fire protection district shall be certified to the board by the:

      1. (A) Mayor or other qualified representative of a city or town; or

      2. (B) County fire coordinator of a rural fire protection district.

  3. (c)

    1. (1) The portion of revenues that may be distributed to the Firemen's and Police Officers' Pension and Relief Fund under this section shall be:

      1. (A) Forty percent (40%) of the total actuarial cost for a paid group covered by the Arkansas Local Police and Fire Retirement System;

      2. (B) One hundred percent (100%) of the actuarial cost for a volunteer group covered by the Arkansas Local Police and Fire Retirement System minus required employer contributions; and

      3. (C) Thirty percent (30%) of the consolidation and local pension and relief fund actuarial costs as provided under § 24-11-214.

    2. (2) The remaining portion of revenues shall be distributed to the General Revenue Fund Account of the State Apportionment Fund.

    3. (3) The portion of revenues distributed in accordance with subdivision (c)(1) of this section is subject to the requirements of § 24-11-215.

  4. (d) The amount of revenues allocated to the Firemen's and Police Officers' Pension and Relief Fund for the fire portion and the amount of revenues allocated to the Firemen's and Police Officers' Pension and Relief Fund for the police portion shall be kept separate.


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