As used in this subpart:

1. (1) “CBA” means cash balance account;
2. (2) "Fiscal year" means the operating year for the State of Arkansas that begins on July 1 of each calendar year and ends on June 30 of the next calendar year;
3. (3) “Plan deposit” means a deposit made to each plan participant's Teacher Deferred Retirement Plan account;
4. (4) "Plan interest" means one (1) or more interest rates per annum that are adopted by the Board of Trustees of the Arkansas Teacher Retirement System by the end of the first quarter of the fiscal year in which the interest rate shall apply in order for the appropriate interest to be credited to each plan participant’s Teacher Deferred Retirement Option Plan account in the years following the Board of Trustees of the Arkansas Teacher Retirement System adoption of the interest rate;
5. (5) “Plan participant” means a member who elects to participate in the Teacher Deferred Retirement Option Plan;
6. (6) "Post 10-year T-DROP interest" means a rate per annum that is compounded annually and adopted by the Board of Trustees of the Arkansas Teacher Retirement System by the end of the first quarter of the fiscal year in which the interest rate shall apply in order for the interest to be credited on June 30 to the T-DROP account of a plan participant who has not retired and whose participation in T-DROP has ended;

7. (7) "Quarter" means one-fourth (1/4) of a fiscal year as follows:

   1. (A) First quarter: July 1 through September 30;
   2. (B) Second quarter: October 1 through December 31;
   3. (C) Third quarter: January 1 through March 31; and
   4. (D) Fourth quarter: April 1 through June 30;
8. (8) "Retiree" means a member receiving a retirement annuity from the Arkansas Teacher Retirement System;
9. (9) "Salary" means the same as defined in Arkansas Code § 24-7-202 and does not include nonmandatory compensation that is taxable by the Internal Revenue Service;
10. (10) “T-DROP” means the same as defined in Arkansas Code § 24-7-202;
11. (11) "T-DROP Cash Balance Account" means a financial account established for a plan participant who elects to defer distribution of his or her Teacher Deferred Retirement Option Plan account balance at the time that he or she is eligible to receive a lump-sum distribution of the Teacher Deferred Retirement Option Plan account balance;
12. (12) "T-DROP Cash Balance Account interest" means the interest rate per annum applicable to a plan participant's T-DROP Cash Balance Account, and compounded monthly into a plan participant's T-DROP Cash Balance Account; and

13. (13) “Uniformed services of the United States” means service in the:

    1. (A) United States Armed Forces;
    2. (B) Army National Guard;

    3. (C) Air National Guard when engaged in:

       1. (i) Active duty for training, state active duty;
       2. (ii) Inactive duty training; or
       3. (iii) Full-time National Guard duty;
    4. (D) United States Commissioned Corps of the Public Health Service; and
    5. (E) Any other category of persons designated by the President of the United States in time of war or emergency.

Codification Notes: “T-DROP” means Teacher Deferred Retirement Option Plan.