161.615 Limited defined contribution plan -- Purpose -- Administration --

322 words·~1 min read·/ky/161-615

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Eligibility -- Payments.

(1)The board of trustees is authorized to implement a limited defined contribution plan

for the sole purpose of providing retirement allowance payments for retired

members who have been approved by the retirement system for full-time

reemployment as provided in KRS 161.605.

(2)The defined contribution plan shall be administered separately from the regular

benefits provided for members of the retirement system, except that the

contributions to the plan shall be invested in the same manner as other contributions

to the retirement system.

(3)The provisions of this section apply only to those retired members who were

permitted to return to work under the critical shortage provisions of KRS

161.605(7) as they existed on June 30, 2002. The provisions of this section shall not

apply to any retired member returning to work on or after July 1, 2002.

(4)Separate member accounts shall be maintained for participants in this plan which

shall reflect the annual contributions made to the participant's account based on the

rates and interest levels specified in KRS 161.605.

(5)When the retiree's reemployment terminates, the total contributions and accrued

interest in the participant's account will be paid in a lump-sum payment or on an

actuarial straight life monthly basis to the retiree. If the member dies prior to

making application for a retirement allowance under this plan, the beneficiary

designated by the participant for this plan shall receive a refund of the funds in the

account. If there is a remaining balance in the account at the death of the participant

after retirement from this plan, it shall be paid to the beneficiary designated by the

participant for this benefit.

(6)Retired members shall be eligible to receive their retirement annuity when approved

for reemployment and participation in this plan. Service as a reemployed retiree

may not be used in any manner for credit under the regular retirement benefit plans

provided by the retirement system.