Senate says House Bill 78 will restore defined‑benefit pensions; effective date pushed to July 1, 2027

Senate President Stevens announced that the Senate passed House Bill 78, a measure "which returns public employees to a defined benefit pension plan," calling it a long‑standing priority of the majority caucus. "Been a top priority of this of our caucus and the senate and also the house majority for the past 4 years," Stevens said.

Senator Giesel said the House had concurred and the measure was effectively complete, while noting a final step remained before enactment. "I just got texted that the house concurred. So, yay. It's done. We still have one more stop, though," she said, adding that amendments on the floor made the plan "a little bit more moderated" and that employer choice was included in the final language.

Giesel told the chamber the bill’s effective date was moved to July 1, 2027, "in deference to the division of retirement and benefits who said they would need some time to write the regulations." She asked employees to "patiently wait another year and 2 months" while the division prepares implementing regulations.

Another senator who spoke in support said the bill ‘‘moves the needle’’ on Alaska’s retirement system and that, while it was not a complete solution to all fiscal challenges, it would materially improve retirement security for public‑sector workers and help local governments and school districts deliver services more efficiently.

What happens next: because both chambers have acted, the bill will move to the governor for signature. The transcript does not record a governor’s signature or veto; the effective date included in the bill text as discussed in the Senate is July 1, 2027.