61.680 Consent of employees to deductions -- Consolidation for
1,801 words·~8 min read·
/ky/61-680A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
determination of eligibility and determination of benefits -- Waiver --
Choice among retirement systems -- Reciprocal arrangements.
(1)Prior to August 1, 1982, every employee shall be deemed to consent and
agree to any deduction from his or her compensation required by KRS 6.500 to
6.535, 16.505 to 16.652, 61.510 to 61.692, 78.510 to 78.852, and to all other
provisions thereof. Thereafter, employee contributions shall be picked up by
the employer pursuant to KRS 61.560(4).
(a)Notwithstanding any other provisions of KRS 6.500 to 6.535, 16.505 to
16.652, 61.510 to 61.692, 78.510 to 78.852 and 161.220 to 161.714:
1. Upon death, disability, or service retirement, a member's accounts
under the Legislators' Retirement Plan, State Police Retirement
System, Kentucky Employees Retirement System, County
Employees Retirement System, and Teachers' Retirement System,
except for service prohibited by KRS 161.623(2), shall be
consolidated for the purpose of determining eligibility and amount of
benefits, including those members who participate in the hybrid cash
balance plan within the Kentucky Employees Retirement System,
the County Employees Retirement System, and the State Police
Retirement System, on or after January 1, 2014, and regardless of
the transition of administration of the County Employees Retirement
System to the County Employees Retirement System board of
trustees;
2. Vested service credit in a retirement system, other than the
Teachers' Retirement System, sponsored by a Kentucky institution
of higher education and accepted by the Kentucky Employees
Retirement System or the County Employees Retirement System,
may be used to determine eligibility for twenty-seven
(27)year
retirement for an employee who begins participating before
September 1, 2008, but not the amount of benefits;
3. The computation of benefits shall be based on the applicable
formula in each system and service credit in each system, but the
final compensation, excluding compensation earned under KRS
161.155(10), shall be determined as if all service were in one
system;
4. If the member has prior service in more than one
(1)system
administered by Kentucky Retirement Systems, he or she shall
obtain at least twelve
(12)months' current service in each system in
which he or she has prior service in order to validate the prior
service in each system for purposes of determining consolidated
benefits under this subsection; and
5. Upon the determination of benefits, each system shall pay the
applicable amount of benefits due the member.
(b)The provisions of paragraph
(a)of this subsection shall be waived if the
member:
1. Notifies the system of his or her desire to maintain separate
retirement accounts in the State Police Retirement System,
Kentucky Employees Retirement System, or County Employees
Retirement System; or
2. Fails to simultaneously retire from all state-administered retirement
systems in which the member has an account or fails to retire from
any other systems not administered by Kentucky Retirement
Systems within one
(1)month of the member's effective retirement
date in the systems administered by Kentucky Retirement Systems.
(c)If the member has not contributed at least one
(1)year in a system in
which he or she has prior service, his or her current service in the system
shall be valid for purposes of determining eligibility and in computation of
benefits on a consolidated basis.
(a)A member with service credit in the Kentucky Employees Retirement
System, State Police Retirement System, or the County Employees
Retirement System who becomes the holder of an office entitling him or
her to membership in the Judicial Retirement Plan or the Legislators'
Retirement Plan, but who does not elect within thirty
(30)days after taking
office in such service to participate in the plan, in accordance with KRS
6.505 or 21.360, shall be deemed to have elected to retain membership in
the system in which he or she is a member, either the Kentucky
Employees Retirement System, State Police Retirement System, or the
County Employees Retirement System. In that event, the agency
employing the member shall withhold employee contributions, or
picked-up employee contributions after August 2, 1982, make employer
contributions and remit these contributions to the system in which the
member retained his or her membership.
(b)Any person entitled to membership in the Judicial Retirement Plan or the
Legislators' Retirement Plan, who does not elect within thirty
(30)days
after taking office to participate in the plan, in accordance with KRS 6.505
or 21.360, and who at the time of taking office is not a contributing
member of, or does not have service credit in, any of the retirement
systems mentioned in this section, or the Teachers' Retirement System,
shall participate in the Kentucky Employees Retirement System.
(c)A member of one
(1)of the state-administered retirement plans who
ceases to contribute to the plan as provided in KRS 21.360 and who is
employed in a nonelected position by an agency participating in the
Kentucky Retirement Systems or Kentucky Teachers' Retirement System
shall be deemed to have elected membership in the system in which the
employer of the nonelected position participates. A member of one
(1)of
the state-administered retirement plans who ceases to contribute to the
plan as provided in KRS 21.360 and who is not employed in a nonelected
position by an agency participating in the Kentucky Retirement Systems
shall be deemed to have elected membership in the Kentucky Employees
Retirement System.
(a)Prior to July 1, 1976, a person entering the service of an employer
participating in the Kentucky Employees Retirement System or the
County Employees Retirement System with service credit in the
Teachers' Retirement System and who desires to retain membership in
the Teachers' Retirement System, and who is permitted by that system to
continue, shall be exempt from participating in the Kentucky Employees
Retirement System or the County Employees Retirement System.
(b)Any person who has elected to retain membership in the Teachers'
Retirement System as provided in paragraph
(a)of this subsection may
cancel his or her election and participate in the system under which his or
her position would normally participate, if he or she elects to cancel his or
her option prior to January 1, 1977.
(c)Any member of the General Assembly who upon election is a contributing
member of the Teachers' Retirement System and who does not elect
within thirty
(30)days after taking office to participate in the Legislators'
Retirement Plan, in accordance with KRS 6.505, shall during his or her
term of office participate in the Kentucky Employees Retirement System
unless an election to retain membership in the Teachers' Retirement
System is filed in writing within ninety
(90)days after his or her term of
office begins. No contributions may be made to the Teachers' Retirement
System for the same period of service under the Legislators' Retirement
Plan or the Kentucky Employees Retirement System as a member of the
General Assembly, but contributions made to the Teachers' Retirement
System while a member of the General Assembly shall be transferred to
the Legislators' Retirement Plan, as provided for in KRS 6.535, when the
member elects to join the Legislators' Retirement Plan, and service credit
in the Legislators' Retirement Plan shall be granted as provided for in
KRS 6.505(5).
(5)Any member of the Kentucky Employees Retirement System or County
Employees Retirement System who is working in a position covered by one
of these retirement systems and his or her employee contributions, service
credit and employer contributions made on his or her behalf are being
transferred to the other retirement system shall contribute to the system in
which his or her employer participates, or after August 1, 1982, the employer
shall pick up the employee contributions, and no further contributions or service
credit shall be transferred to the system in which he or she elected to retain
membership, as subsection
(2)of this section eliminates the necessity of the
transfers.
(a)Except as provided by KRS 61.545(3)(b)2., any member of the Kentucky
Employees Retirement System or County Employees Retirement System
who is working in more than one
(1)position covered by the same
retirement system, shall have his or her wages and contributions
consolidated and his or her retirement account administered as a single
account. If part-time positions are involved, an accumulation of all hours
worked within the same retirement system shall be used to determine
eligibility under KRS 61.510(21).
(b)The provisions of this subsection shall not apply to an individual serving
as a volunteer who is receiving compensation from the employer equal to
or less than a nominal fee as defined by KRS 61.510 and 78.510 if the
compensation paid to the volunteer is excluded from the definition of
creditable compensation as provided by KRS 61.510(13) or 78.510(13).
(a)Notwithstanding the provisions of subsection
(2)of this section, a person
who does not have the amount of service required for service retirement
in the State Police Retirement System, Kentucky Employees Retirement
System, County Employees Retirement System, Legislators' Retirement
Plan, or Teachers' Retirement System, but who is a member of one
(1)of
the systems or is a former member of one
(1)or more of the systems with
valid service credit therein, shall become eligible for service retirement
benefits attributable to the amount of his or her actual service credit in
each system in which he or she has service credit when his or her
combined service credit in all the systems, plus any service credit he or
she has in the Judicial Retirement Plan, is equal to that required for
service retirement in each respective system. The computation of benefits
shall be based on the applicable formula in each system and service
credit in each system, except that total service in all systems, unless
prohibited by KRS 161.623(2), shall be used to determine the reduction
for early retirement, if any. Except as provided in KRS 21.360, the final
compensation shall be determined by using the creditable compensation
reported to the State Police Retirement System, Kentucky Employees
Retirement System, County Employees Retirement System, Legislators'
Retirement Plan, or Teachers' Retirement System and only as much of
the compensation earned in the Judicial Retirement Plan as is needed to
satisfy the final compensation requirement applicable in the respective
retirement systems.
(b)Paragraph
(a)of this subsection shall be waived if the member fails to
simultaneously retire from all state-administered retirement systems in
which the member has an account or fails to retire from any other
systems not administered by Kentucky Retirement Systems within one
month of the member's effective retirement date in the systems
administered by the Kentucky Retirement Systems.
(8)Each retirement system from which the member retires shall pay a retirement
allowance upon receipt of required forms and documents, except that no
retirement system shall pay a retirement allowance or annuity until all forms
and documents are filed at all retirement systems in compliance with each
system's requirements.