Kansas Statutes Annotated
Updated Through the 2016 Legislative Session

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Statute Number:74-4914f
Chapter Title:STATE BOARDS, COMMISSIONS AND AUTHORITIES
Article Title:PUBLIC EMPLOYEES RETIREMENT SYSTEMS
Tax Type:Individual Income Tax
Brief Description:Normal retirement date; service after retirement; early
retirement; employment after retirement, limitations, requirements and
third-party entities; members as a result of a merger or consolidation.
Keywords:


Body:

74-4914f.Normal retirement date; service after retirement; early retirement; employment after retirement, limitations, requirements and third-party entities; members as a result of a merger or consolidation. [See Revisor’s note.](1) The normal retirement date for a member of the system shall be the first day of the month coinciding with or following termination of employment with any participating employer not followed by employment with any participating employer within 60 days and the attainment of age 65 or, commencing July 1, 1993, age 62 with the completion of 10 years of credited service or the first day of the month coinciding with or following the date that the total of the number of years of credited service and the number of years of attained age of the member is equal to or more than 85. In no event shall a normal retirement date for a member be before six months after the entry date of the participating employer by whom such member is employed. A member may retire on the normal retirement date or on the first day of any month thereafter upon the filing with the office of the retirement system of an application in such form and manner as the board shall prescribe. Nothing herein shall prevent any person, member or retirant from being employed, appointed or elected as an employee, appointee, officer or member of the legislature. Elected officers may retire from the system on any date on or after the attainment of the normal retirement date, but no retirement benefits payable under this act shall be paid until the member has terminated such member’s office.
(2) No retirant shall make contributions to the system or receive service credit for any service after the date of retirement.
(3) Any member who is an employee of an affiliating employer pursuant to K.S.A.74-4954b, and amendments thereto, and has not withdrawn such member’s accumulated contributions from the Kansas police and firemen’s retirement system may retire before such member’s normal retirement date on the first day of any month coinciding with or following the attainment of age 55.
(4) Any member may retire before such member’s normal retirement date on the first day of any month coinciding with or following termination of employment with any participating employer not followed by employment with any participating employer within 60 days and the attainment of age 55 with the completion of 10 years of credited service, but in no event before six months after the entry date, upon the filing with the office of the retirement system of an application for retirement in such form and manner as the board shall prescribe.
(5) Except as provided in subsection (7), on or after July 1, 2006, for any retirant who is first employed or appointed in or to any position or office by a participating employer other than a participating employer for which such retirant was employed or appointed during the final two years of such retirant’s participation, and, on or after April 1, 2009, for any retirant who is employed by a third-party entity who contracts services with a participating employer other than a participating employer for which such retirant was employed or appointed during the final two years of such retirant’s participation to fill a position covered under K.S.A.72-5410(a), and amendments thereto, with such retirant, such participating employer shall pay to the system the actuarially determined employer contribution and the statutorily prescribed employee contribution based on the retirant’s compensation during any such period of employment or appointment. If a retirant who retired on or after July 1, 1988, is employed or appointed in or to any position or office for which compensation for service is paid in an amount equal to $20,000 or more in any one such calendar year, or $25,000 or more in any one calendar year between July 1, 2016, and July 1, 2021, by any participating employer for which such retirant was employed or appointed during the final two years of such retirant’s participation, and, on or after April 1, 2009, by any third-party entity who contracts services to fill a position covered under K.S.A.72-5410(a), and amendments thereto, with such retirant with a participating employer for which such retirant was employed or appointed during the final two years of such retirant’s participation, such retirant shall not receive any retirement benefit for any month for which such retirant serves in such position or office. The participating employer who employs such retirant whether by contract directly with the retirant or through an arrangement with a third-party entity shall report to the system within 30 days of when the compensation paid to the retirant is equal to or exceeds any limitation provided by this section. Any participating employer who contracts services with any such third-party entity to fill a position covered under K.S.A.72-5410(a), and amendments thereto, shall include in such contract a provision or condition which requires the third-party entity to provide the participating employer with the necessary compensation paid information related to any such position filled by the third-party entity with a retirant to enable the participating employer to comply with provisions of this subsection relating to the payment of contributions and reporting requirements. The provisions and requirements provided for in amendments made in this act which relate to positions filled with a retirant or employment of a retirant by a third-party entity shall not apply to any contract for services entered into prior to April 1, 2009, between a participating employer and third-party entity as described in this subsection. Any retirant employed by a participating employer or a third-party entity as provided in this subsection shall not make contributions nor receive additional credit under such system for such service except as provided by this section. Upon request of the executive director of the system, the secretary of revenue shall provide such information as may be needed by the executive director to carry out the provisions of this act. The provisions of this subsection shall not apply to retirants employed as substitute teachers or officers, employees or appointees of the legislature. The provisions of this subsection shall not apply to members of the legislature prior to January 8, 2000. The provisions of this subsection shall not apply to any other elected officials prior to the term of office of such elected official which commences on or after July 1, 2000. The provisions of this subsection shall apply to any other elected official, except an elected city or county officer as further provided in this subsection, on and after the term of office of such other elected official which commences on or after July 1, 2000. Notwithstanding any provisions of law to the contrary, when an elected city or county officer is retired under the provisions of subsection (1) or (4) of this section and is paid an amount of compensation of $25,000 or more in any one calendar year between July 1, 2016, and July 1, 2021, such officer may receive such officer’s salary, and still be entitled to receive such officer’s retirement benefit pursuant to the provisions of K.S.A.74-4915et seq., and amendments thereto. Except as otherwise provided, commencing January 8, 2001, the provisions of this subsection shall apply to members of the legislature. For determination of the amount of compensation paid pursuant to this subsection, for members of the legislature, compensation shall include any amount paid as provided pursuant to K.S.A.46-137a(a), (b), (c) and (d), and amendments thereto, or pursuant to K.S.A.46-137b, and amendments thereto. Notwithstanding any provision of law to the contrary, when a member of the legislature is paid an amount of compensation of $20,000 or more in any one calendar year, the member may continue to receive any amount provided in K.S.A.46-137a(b) and (d), and amendments thereto, and still be entitled to receive such member’s retirement benefit. Commencing July 1, 2005, the provisions of this subsection shall not apply to retirants who either retired under the provisions of subsection (1), or, if they retired under the provisions of subsection (4), were retired more than 30 days prior to the effective date of this act and are licensed professional nurses or licensed practical nurses employed by the state of Kansas in an institution as defined in K.S.A.76-12a01(b) or K.S.A. 2016 Supp.38-2302(k), and amendments thereto, the Kansas soldiers’ home or the Kansas veterans’ home. Nothing in this subsection shall be construed to create any right, or to authorize the creation of any right, which is not subject to amendment or nullification by act of the legislature. The participating employer of such retirant shall pay to the system the actuarially determined employer contribution based on the retirant’s compensation during any such period of employment.
(6) For purposes of this section, any employee of a local governmental unit which has its own pension plan who becomes an employee of a participating employer as a result of a merger or consolidation of services provided by local governmental units, which occurred on January 1, 1994, may count service with such local governmental unit in determining whether such employee has met the years of credited service requirements contained in this section.
(7) (a) Except as provided in K.S.A.74-4937(3), (4), or (5), and amendments thereto, and the provisions of this subsection, commencing July 1, 2016, and ending July 1, 2021, any retirant who is employed or appointed in or to any position by a participating employer or a third-party entity who contracts services with a participating employer to fill a position, without any prearranged agreement with such participating employer and not prior to 60 days after such retirant’s retirement date, shall not receive any retirement benefit for any month in any calendar year in which the retirant receives compensation in an amount equal to $25,000 or more, pursuant to this subsection. The provisions of this subsection shall apply to members of the legislature.
(b) The provisions of this subsection shall not apply to retirants that [who] are:
(i) Licensed professional nurses or licensed practical nurses employed by the state of Kansas in an institution as defined in K.S.A.76-12a01(b) or K.S.A. 2016 Supp.38-2302(k), and amendments thereto, the Kansas soldiers’ home or the Kansas veterans’ home. The participating employer of such retirant shall pay to the system the actuarially determined employer contribution based on the retirant’s compensation and the statutorily prescribed employee contribution during any such period of employment;
(ii) employed by a school district in a position as provided in K.S.A.74-4937(3), (4) or (5), and amendments thereto;
(iii) certified law enforcement officers employed by the law enforcement training center. Such law enforcement officers shall receive their benefits notwithstanding this subsection. The law enforcement training center shall pay to the system the actuarial [actuarially] determined employer contribution and the statutorily prescribed employee contribution based on the retirant’s compensation during any such period of employment;
(iv) members of the Kansas police and firemen’s retirement system pursuant to K.S.A.74-4951et seq., and amendments thereto, or members of the retirement system for judges pursuant to K.S.A.20-2601et seq., and amendments thereto;
(v) employed as substitute teachers or officers, employees or appointees of the legislature; and
(vi) employed by, or have accepted employment from, a participating employer prior to May 1, 2015. Any break in continuous employment by a retirant or move to a different position by a retirant during the effective period of this subsection shall be deemed new employment and shall subject the retirant to the provisions of this subsection.
(c) The participating employer shall enroll all retirants and report to the system when compensation is paid to a retirant as provided in this subsection. Upon request of the executive director of the system, the participating employer shall provide such information as may be needed by the executive director to carry out the provisions of this subsection. Any participating employer who hires a retirant covered by this subsection shall pay to the system the statutorily prescribed employer contribution rate for such retirant, without regard to whether the retirant is receiving benefits. No retirant shall receive credit for service while employed under the provisions of this subsection.
(d) A participating employer may employ a retirant without regard to the compensation limitation in this subsection for a period of one calendar year or one school year, as the case may be, if the following requirements are met:
(i) The employer certifies to the board that the position being filled has been vacated due to an unexpected emergency or the employer has been unsuccessful in filling the position;
(ii) the employer pays to the system the actuarially determined employer contribution based on the retirant’s compensation during any such period of employment plus 8%;
(iii) the employer maintains documentation of its efforts to fill the position with a non-retirant and provides such documentation to the joint committee on pensions, investments and benefits upon request of the committee.
(e) An employer may submit a written appeal to the joint committee on pensions, investments and benefits to extend the exception provided for in subsection (7)(d) by one year. Such written appeal shall include documentation of the employer’s efforts to fill the position with a non-retirant. Granting or denial of such extension shall be at the sole discretion of the committee.
(f) On July 1, 2016, and at least every five years thereafter, the joint committee on pensions, investments and benefits shall study the issue of whether the compensation limitation prescribed in this subsection should be adjusted. The committee shall consider the effect of inflation and data on member retirement benefits and active employee compensation.
(g) Nothing in this subsection shall be construed to create any right, or to authorize the creation of any right, which is not subject to amendment or nullification by act of the legislature.
History:L. 1961, ch. 427, 14; L. 1963, ch. 412, 8; L. 1969, ch. 378, 1; L. 1970, ch. 323, 1; L. 1972, ch. 299, 1; L. 1975, ch. 407, 1; L. 1978, ch. 320, 1; L. 1978, ch. 332, 32; L. 1981, ch. 311, 1; L. 1983, ch. 254, 6; L. 1985, ch. 254, 9; L. 1986, ch. 294, 3; L. 1987, ch. 299, 12; L. 1988, ch. 302, 6; L. 1989, ch. 232, 6; L. 1991, ch. 237, 7; L. 1992, ch. 321, 1; L. 1993, ch. 227, 15; L. 1994, ch. 293, 10; L. 1995, ch. 267, 8; L. 1998, ch. 201, 17; L. 2000, ch. 152, 9; L. 2001, ch. 209, 9; L. 2005, ch. 196, 4; L. 2006, ch. 143, 8; L. 2008, ch. 113, 12; L. 2009, ch. 137, 1; L. 2015, ch. 77, 2; L. 2016, ch. 46, 60; July 1.



Date Composed: 11/10/2016 Date Modified: 11/14/2016

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