“Governance” refers to the method by which the System is directed and controlled. A sound governance structure defines the roles of the different parties that participate in the decision-making process, including the identification of the matters that require action, analysis of options, and the process for making decisions once issues have been evaluated. It also includes the process for implementing and monitoring decisions and assessing their outcomes. Good governance embraces the principles of accountability; transparency; compliance with legal requirements; effectiveness and efficiency; inclusiveness; fairness; responsiveness; and predictability.
The board has the responsibility of establishing and maintaining broad policies and objectives for all aspects of the retirement system’s operation. By law, the Board is responsible for formulating and adopting rules and regulations for the government of its own proceedings and for the administration of the system. The board also sets rules and establishes procedures necessary for the administration of the MPERS disability plan.