08SS House Bill 1

House Bill 1

Actions

Last Action	signed by Governor
Title	AN ACT relating to retirement and declaring an emergency.
Bill Documents	Bill
Impact Statements	Actuarial Analysis Fiscal Note Local Mandate
Bill Request Number	2
Sponsors	M. Cherry, J. Richards, R. Adkins, L. Clark, M. Henley, C. Hoffman, R. Rand, T. Thompson, R. Webb, R. Wilkey, A. Wuchner, B. Yonts
Summary of Original Version	Amend KRS 6.350 to establish new procedures for the completion of the required actuarial analysis for bills pertaining to state-administered retirement systems; amend KRS 16.505, 61.510, and 78.510 to establish new calculation of final compensation for KERS, CERS, and SPRS employees hired on or after September 1, 2008; amend KRS 16.560, 61.575, and 78.640 to establish fixed 2.5% interest rate on member contribution accounts for KERS, CERS, and SPRS employees hired on or after September 1, 2008; amend KRS 16.576, 16.577, 61.559, and 61.595 to establish new retirement requirements and benefit multipliers for KERS, CERS, and SPRS employees hired on or after September 1, 2008; amend KRS 61.546 to limit sick leave service credit for KERS and SPRS employees hired on or after September 1, 2008 to 12 months and to require the last participating KERS or SPRS employer to pay the cost of sick leave effective July 1, 2010; amend KRS 61.5525 to require service purchases made on or after September 1, 2008, to reflect full actuarial cost; amend KRS 61.592 to establish a new definition of hazardous duty for CERS employees hired on or after September 1, 2008 and to require the agency to recertify new employees to the retirement systems; amend KRS 61.635 to provide that the partial lump-sum payment option shall only be provided to KERS, CERS, and SPRS employees retiring on or before January 1, 2009; amend KRS 61.637 to establish new requirements for KERS, CERS, and SPRS retirees who are reemployed on or after September 1, 2008; amend KRS 61.645 to limit KERS, CERS, and SPRS elected trustees to three terms, to require the board to establish a formal trustee education program, and to require the systems' to post specific board administration, financial, and investment materials to the systems' website; amend KRS 61.691 to provide a 1.5% COLA to KERS, CERS, and SPRS recipients on or after July 1, 2009 and to clarify policy and funding for COLA's in excess of 1.5%; amend KRS 61.702 to require KERS, CERS, and SPRS employees hired on or after September 1, 2008 to pay 1% in contributions for retiree health benefits, to work fifteen years before vesting for health benefits, and to provide that the amount of retiree health benefits that KERS, CERS, and SPRS employees hired on or after July 1, 2003 are eligible for shall be increased by 1.5% annually; amend 78.616 to limit sick leave service credit for CERS employees hired on or after September 1, 2008 to 12 months and only for benefit determination; amend KRS 161.155 to set sick leave maximum for retirement purposes at 300 days for school employees and teachers; amend KRS 161.220 to remove annual compensation and compensatory leave paid at retirement from calculation of retirement benefits and to establish fixed 2.5% interest rate on member contribution accounts for KTRS employees hired on or after July 1, 2008; amend KRS 161.250 to limit KTRS elected trustees to three terms, to require the board to establish a formal trustee education program, and to require the systems' to post specific board administration, financial, and investment materials to the systems' website; amend KRS 161.420 and 161.540 to require KTRS employees hired on or after July 1, 2008 to pay an additional 1% in contributions for retiree health benefits; amend KRS 161.545 and 161.5465 to provide that KTRS employees hired on or after July 1, 2008, shall not be eligible to purchase noncurrent leave and air-time, except that upon retirement the new KTRS employee may purchase up to 10 months of air-time to complete the 27 year requirement; amend KRS 161.600 to increase service requirement from 5 to 10 years for a KTRS employee who is hired on or after July 1, 2008; amend KRS 161.605 to provide an additional option for reemployment after retirement for KTRS retirees who wish to return to work; amend KRS 161.620 to establish new benefit multipliers for KTRS employees hired on or after July 1, 2008; amend KRS 161.675 to require KTRS employees hired on or after July 1, 2008, to have at least 15 years of service in order to be eligible for retiree health benefits after retirement; repeal 161.603; establish the CERS contributions for the 2008-2009 fiscal year; declare an EMERGENCY.
Index Headings of Original Version	Retirement and Pensions - Judicial Retirement Plan, adjust COLA and new hire employee contribution rate Retirement and Pensions - Kentucky Retirement Systems, plan design changes Retirement and Pensions - Kentucky Teachers' Retirement System, plan design changes Retirement and Pensions - Legislators' Retirement Plan, adjust COLA and new hire employee contribution rate Actuarial Analysis - Kentucky Retirement Systems, plan design changes Local Mandate - Kentucky Retirement Systems, plan design changes Fiscal Note - Kentucky Retirement Systems, plan design changes
Votes	Vote History

06/23/08	introduced in House posting waived to State Government (H) reported favorably, 1st reading, to Calendar recommitted to State Government (H)
06/24/08	reported favorably 2nd reading, to Rules
06/25/08	posted for passage in the Regular Orders of the Day for Wednesday, June 25 3rd reading, passed 98-0 received in Senate taken from Committee on Committees 1st reading returned to Committee on Committees (S) to State & Local Government (S)
06/26/08	taken from committee 2nd reading returned to State & Local Government (S)
06/27/08	reported favorably, to Rules posted for passage in the Regular Orders of the Day for Friday, June 27 3rd reading, passed 35-1 received in House enrolled, signed by each presiding officer delivered to Governor signed by Governor