PERS committees adopt Roth after‑tax option for MDC plan and update OP plan rates; Tier Five rollout reported live

The Public Employees Retirement System of Mississippi voted to adopt two plan‑document updates and heard an operational update on the recently implemented Tier Five program.

At the committee’s opening session staff asked for final adoption of amendments to the MDC plan document to add Roth (after‑tax) provisions that the legislature approved during the most recent session; the chair called for and received a voice vote to adopt the changes. Staff said the Roth option is effective July 1. The committee also approved final changes to the OP plan document to update contribution rates so they align with current statutory levels; that motion likewise passed by voice vote.

Both motions were taken as routine final adoptions of previously introduced language. The transcript records only voice approvals and does not show a roll‑call tally; staff noted the changes replicate the provisions the board had approved for initial adoption earlier in the cycle. Action details recorded in committee materials specify the MDC change is to add Roth/after‑tax provisions and the OP update aligns contribution rates with statute.

Committee members also received an operational briefing on the Tier Five rollout. Staff reported Tier Five is now live for employees hired March 1 or later and said reporting began in April. Staff estimated the program currently includes between 500 and 600 new Tier Five members across more than 200 employers and said reconciliation of employer reporting is ongoing. Staff acknowledged continued work on IT, employer training, communication and other implementation tasks and publicly thanked internal project leads Lauren Cameron, Dveta Lee and Mason Franom and other team members involved in the rollout.

Several committee members raised concerns that the move to Tier Five—including removal of a standing cost‑of‑living adjustment (COLA) mechanism cited by speakers—has angered some first responders and public safety agencies and could make hiring specialized employees more difficult. A committee member said sheriffs and other local officials have publicly criticized the change and urged the board to review any legislative revisions that might restore portability or COLA‑like adjustments. Staff responded that many of the decisions reflect local fiscal constraints flagged by municipal associations during the legislative process, and recommended continuing the discussion under the legislation‑update agenda item.

The committee received a brief vendor update noting a potential merger involving an OP vendor (Corebridge and Equitable Holdings) and said staff will share further details as they are confirmed. The committee recessed for lunch and reconvened later for the investment committee agenda.

Next steps: the adopted plan changes become effective on the date staff specified (Roth effective July 1); staff will continue reconciling Tier Five enrollments and provide updates under upcoming legislative‑update and implementation reports.