The brief finds that:

• Over 40 percent of plans in our sample failed to make their annual required contribution (ARC) in 2006.
• The majority of these plans faced legal constraints on their contributions, but many are gradually adjusting their limits.
• For the unconstrained plans, the following factors are associated with a failure to make the ARC:
  
  - Degree of funding discipline – the plan uses a less rigorous cost method;
  - Size and type of plan — the plan is large and is run by the state; and
  - Fiscal health— the plan is in a state with a relatively high debt burden.