18SS House Bill 1

House Bill 1

Actions

Last Action	posting waived
Title	AN ACT relating to retirement and declaring an emergency.
Bill Documents	Introduced
Impact Statements	Actuarial Analysis Local Mandate
Bill Request Number	7
Sponsor	J. Miller
Summary of Original Version	Except as otherwise provided, repeal, reenact, and amend the following sections: amend KRS 6.505 to provide that the “inviolable contract” shall not apply to legislative changes to the Legislators’ Retirement Plan (LRP) that become effective on or after January 1, 2019; amend KRS 6.518 to make conforming changes deleting references to the 401(a) money purchase plan repealed in Section 12 of the bill; repeal and reenact KRS 6.520 and 6.525 without changes; amend KRS 21.360 to provide that the “inviolable contract” shall not apply to legislative changes to the Judicial Retirement Plan (JRP) that become effective on or after January 1, 2019; amend KRS 21.372 to make conforming changes deleting references to the 401(a) money purchase plan repealed in Section 12 of the bill; amend KRS 21.374 to restore provisions permitting existing members of LRP or JRP to elect to participate in the hybrid cash balance plan in lieu of the benefits the members are currently eligible to receive under the plans; repeal and reenact KRS 21.385; amend KRS 21.402 to make conforming changes relating to hybrid cash balance plan election; amend KRS 21.460 to make conforming changes deleting references to the 401(a) money purchase plan; amend KRS 21.460 to confirm that the “inviolable contract” shall not apply to legislative changes that become effective on or after January 1, 2019; repeal KRS 61.5956 relating to the creation of an optional 401(a) money purchase plan for new nonhazardous members who begin participating in the Kentucky Employees Retirement System (KERS) or the County Employees Retirement System (CERS) on or after January 1, 2019; amend KRS 16.505, 61.510, and 78.510 with definitions relative to the State Police Retirement System (SPRS), KERS, and CERS to reinstitute the inclusion of uniform and equipment allowances within the definition of creditable compensation and to delete the requirement that a final compensation based upon the highest 3 (hazardous) or highest 5 (nonhazardous) years of creditable compensation must contain at least 36 or 60 months, as applicable, for all members retiring on or after January 1, 2019, regardless of member participation date; also amend KRS 61.510 to redefine “level percentage of payroll” and make conforming changes; amend KRS 61.597 to make conforming changes relating to the election to participate in the hybrid cash balance plan pursuant to KRS 61.5955; amend KRS 61.552, 61.555, 61.575, 61.580, 61.595, 78.640, and 78.650 to make conforming changes deleting references to the 401(a) money purchase plan; amend KRS 61.637 to delete the 2018 enactment relating to new rules for members of all state-administered retirement plans who retire on or after January 1, 2018, and are reemployed on or after January 1, 2019; amend KRS 61.680 to make conforming changes; amend KRS 61.702 to delete the requirement that KERS, CERS, and SPRS members hired after July 1, 2003, but before September 1, 2008, must contribute an additional 1 percent of pay toward retiree health insurance beginning on or after January 1, 2019; repeal and reenact KRS 61.705 regarding the retiree $5,000 death benefit and provide that the benefit shall not apply to those members who began participating on or after January 1, 2014; amend KRS 16.652, 61.692, and 78.852 to provide that SPRS, KERS, and CERS “inviolable contract” provisions shall not apply to legislative changes made on or after January 1, 2019; amend KRS 61.559, 61.605, and 61.640 to make conforming changes deleting references relating to the 401(a) money purchase plan; amend KRS 61.5955 to restore the optional election for pre-2014 members to participate in the hybrid cash balance plan in lieu of the benefits that they would otherwise receive and make conforming amendments deleting references to the 401(a) money purchase plan; amend KRS 16.583, 16.645, and 78.545 to make conforming changes relating to the opt-in for the hybrid cash balance plan; repeal and reenact KRS 161.235 establishing a hybrid cash balance plan for new Teachers’ Retirement System (TRS) members who begin participating on or after January 1, 2019, maintaining without amendment all the features of the plan enacted into law in April of 2018; repeal and reenact KRS 161.155 limiting the amount of sick leave payments that can be applied to TRS retirement benefit calculations to the amount of sick days accumulated as of December 31, 2018, as enacted into law in April of 2018; repeal and reenact KRS 161.220, 161.420, 161.470, 161.480, 161.500, 161.507, 161.515, 161.520, 161.522, 161.525, 161.540, 161.545, 161.5465, 161.547, 161.548, 161.549, 161.568, 161.580, 161.585, 161.590, 161.595, 161.600, 161.605, 161.612, 161.615, 161.620, 161.630, 161.655, 161.661, 161.650, and 161.700 to maintain conforming and technical provisions enacted into law in April of 2018; repeal, reenact, and amend KRS 161.714 to provide that the “inviolable contract” shall not apply to legislative changes to TRS that become effective on or after January 1, 2019; repeal, reenact, and amend KRS 61.598 to make conforming changes deleting references relating to the 401(a) money purchase plan; provide severability clause and non-appropriation clause; EMERGENCY.
Index Headings of Original Version	Actuarial Analysis - State-administered retirement systems, pension reform Local Mandate - State-administered retirement systems, pension reform Public Officers and Employees - State-administered retirement systems, pension reform Retirement and Pensions - State-administered retirement systems, pension reform State Employees - State-administered retirement systems, pension reform Teachers - State-administered retirement systems, pension reform