Session of 2000
         
HOUSE BILL No. 2666
         
By Kansas 2000 Select Committee
         
1-20
         

10             AN  ACT concerning retirement; relating to an optional defined contri-
11             bution plan for members of the Kansas public employees retirement
12             system who are nonjudicial employees in the judicial branch.
13      
14       Be it enacted by the Legislature of the State of Kansas:
15             Section  1. (a) The board of trustees of the Kansas public employees
16       retirement system shall offer a defined contribution retirement plan for
17       any member of the Kansas public employees retirement system who is a
18       nonjudicial employee in the judicial branch of state government. The
19       retirement plan shall qualify as a defined contribution plan under the
20       federal internal revenue code of 1986, as amended. Except as otherwise
21       provided by law, participation in the retirement plan offered pursuant to
22       this section shall be in lieu of the Kansas public employees retirement
23       system as in effect prior to the effective date of this act.
24             (b) Each current member and each member who first serves on or
25       after the effective date of this act shall elect to be a member of the Kansas
26       public employees retirement system as provided in K.S.A. 74-4901 et seq.
27       and amendments thereto or to participate in the retirement plan offered
28       pursuant to this section. The election must be filed by October 1, 2001,
29       for current members and within 90 days of first becoming a member for
30       members who first serve on or after the effective date of this act. Such
31       election is irrevocable. If such election is not filed by the member, such
32       member shall be a member of the Kansas public employees retirement
33       system as provided in K.S.A. 74-4901 et seq. and amendments thereto as
34       in effect prior to the effective date of this act. Each member who elects
35       to participate in the defined contribution retirement plan as provided in
36       this section who has accrued service credit in the Kansas public employees
37       retirement system prior to the effective date of this act, for the purposes
38       of determination of a retirement benefit as provided in K.S.A. 74-4915
39       and amendments thereto for service prior to the effective date of this act,
40       shall have a final average salary as provided in K.S.A. 74-4902 and amend-
41       ments thereto and years of participating services determined as of the
42       effective date of this act. No participating service after the effective date
43       of this act shall affect such determination.


2

  1             (c) Members who elect to participate in the defined contribution re-
  2       tirement plan as provided in this section shall contribute an amount equal
  3       to 4% of such member's compensation. The state of Kansas shall con-
  4       tribute to each member's account an amount equal to 4% of such mem-
  5       ber's compensation for each payroll period. A member may make addi-
  6       tional contributions to the plan beyond the amounts provided in this
  7       section, except that the total annual contributions by a member in any
  8       calendar year shall not exceed the maximum amount permitted for such
  9       plans under the federal internal revenue code of 1986, as amended. Con-
10       tributions shall not be subject to taxation until distribution is actually
11       made or made available to the member.
12             (d)  (1) Any officer or employee serving prior to the effective date of
13       this act who: (A) Has not been granted a vested retirement benefit in the
14       system as provided in K.S.A. 79-4917, and amendments thereto; (B) is
15       participating in the defined contribution plan provided by this act; (C)
16       has reached the early or normal retirement dates as provided in K.S.A.
17       74-4917 and amendments thereto; and (D) is still an officer or employee
18       at that time; shall be eligible to receive a retirement benefit based on
19       such officer's or employee's years of service notwithstanding the fact that
20       such officer or employee has not been granted a vested retirement benefit
21       as provided in K.S.A. 74-4917 and amendments thereto. Receipt of such
22       retirement benefit shall be as otherwise provided by law.
23             (e) If a member who elects to participate in the defined contribution
24       retirement plan offered pursuant to this section has completed two years
25       of credited service, such member shall be granted a vested retirement
26       benefit in such retirement plan.
27             (f) Any member who elects to participate in the defined contribution
28       retirement plan offered pursuant to this section shall be eligible for the
29       death and disability benefit as provided in K.S.A. 74-4916, and amend-
30       ments thereto, death benefit, optional death benefit and the long-term
31       disability benefit as provided in K.S.A. 74-4927 and amendments thereto.
32       The cost of such member's participation shall be paid by the member's
33       participating employer as provided in K.S.A. 74-4927 and amendments
34       thereto.
35             (g) The board shall administer the defined contribution retirement
36       plan offered pursuant to this section and shall establish rules and regu-
37       lations for the administration of the plan.
38             (h) The provisions of this section shall be part of and supplemental
39       to the provisions of K.S.A. 74-4901 et seq. and amendments thereto.
40        Sec.  2. This act shall take effect and be in force from and after July
41       1, 2001, and its publication in the statute book.