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AN ACT relating to relating to Kentucky Employees Retirement System employers 1
and declaring an emergency. 2
Be it enacted by the General Assembly of the Commonwealth of Kentucky: 3
Section 1. KRS 61.5991 is amended to read as follows: 4
Except as otherwise provided by this section, the following shall apply to nonhazardous 5
employers in the Kentucky Employees Retirement System, who contributed to the system 6
in fiscal year 2019-2020 except in the case of county attorneys, who are local and district 7
health departments governed by KRS Chapter 212, state-supported universities and 8
community colleges, county attorneys, mental health/mental retardation boards, domestic 9
violence shelters, rape crisis centers, child advocacy centers, or any other agency that is 10
eligible to voluntarily cease participation in the Kentucky Employees Retirement System 11
as provided by KRS 61.522: 12
(1) (a) Each employer, except for county attorneys, shall report to the Authority for 13
each fiscal year occurring on or after July 1, 2021, the following persons for 14
which no employer contributions were paid by the employer to the system 15
during the fiscal year for services provided to the employer: 16
1. Except as provided by paragraph (b)3. of this subsection, persons 17
employed as an independent contractor, a leased employee, or via any 18
other employment arrangement as determined by the Authority, who if 19
employed directly by the employer would qualify as a regular full-time 20
employee in accordance with KRS 61.510(21); and 21
2. Persons employed directly by the employer who meet the definition of a 22
regular full-time employee in accordance with KRS 61.510(21), who are 23
not being reported to the system in accordance with KRS 61.675. 24
(b) The reporting required by this paragraph shall: 25
1. Be reported in a format, detail, and frequency as determined solely by 26
the Authority; 27 UNOFFICIAL COPY 22 RS HB 668/GA
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2. Except as provided by subparagraph 3. of this paragraph, include 1
persons providing services to the employer as an independent contractor, 2
a leased employee, or via any other employment arrangement as 3
determined by the Authority, and those services have historically been 4
provided or are currently being provided by employees eligible to 5
participate in the system through the employer; and 6
3. Exclude: 7
a. Contracts for professional services that have not historically been 8
provided by employees of the employer; [and] 9
b. Any contracts entered into prior to January 1, 2021, with a person 10
or company to provide services as an independent contractor, a 11
leased employee, or other employment arrangement as determined 12
by the Authority, but only for the duration of the original contract, 13
excluding any renewal periods, and only for those services and 14
persons included in the original contract, except as provided 15
subdivision c. of this subparagraph; and 16
c. Contracts providing services through a non-core services 17
independent contractor as defined in subsection (9) of this 18
section, regardless of whether or not the contract was initiated 19
before January 1, 2021, or on or after January 1, 2021. 20
(c) In any case of doubt, the Authority shall determine whether data should be 21
reported on a specific person providing services to the employer and the 22
Authority may by promulgation of administrative regulation provide guidance 23
on which persons should be included for reporting purposes[. 24
(d) If the Kentucky Public Pensions Authority determines a person who was not 25
reported to the system under this subsection should be reported to the system 26
as a regular full-time employee, the system shall require the employer covered 27 UNOFFICIAL COPY 22 RS HB 668/GA
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by this section to report the employee on or after July 1, 2021, and pay 1
employer contributions prospectively but shall not, notwithstanding any other 2
statute to the contrary, bill the employer for any contributions or penalties for 3
any service occurring prior to July 1, 2021, for that specific employee]; 4
(2) (a) Notwithstanding any other provision of statute to the contrary, the Authority 5
shall: 6
1. Have full power, including any authority under KRS 61.685, to audit an 7
employer who is subject to the provisions of this section to ensure 8
compliance and accuracy of the data required to be reported by the 9
employer in accordance with this section; and 10
2. Perform audits on a percentage of employers who are subject to the 11
reporting requirements of this subsection, as determined by the board, 12
for the purpose of ensuring that all eligible employees are being 13
reported and contributions are being paid in accordance with KRS 14
61.510 to 61.705. The system shall have full power and authority, 15
including any authority and power granted under KRS 61.675 and 16
61.685, to accomplish the audits required by this subparagraph. An 17
audit time frame and schedule shall be adopted by the board, made 18
available to impacted employers, and reported to the Public Pension 19
Oversight Board. 20
(b) If the Authority determines an employer has knowingly falsified data required 21
to be reported under this section: 22
1. The Authority shall indicate in the annual report submitted in 23
accordance with subsection (3) of this section that the employer has 24
knowingly falsified data and shall include a brief summary of the 25
reasons for the Authority's determination; 26
2. The employer shall no longer be eligible to receive any future 27 UNOFFICIAL COPY 22 RS HB 668/GA
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appropriations or subsidies from the state to assist in paying employer 1
contributions to the system; and 2
3. The employer shall be required to pay back to the state any 3
appropriations or subsidies provided in the biennial executive branch 4
budget that were used to directly assist the employer in paying employer 5
contributions to the system on or after July 1, 2021. 6
(c) If an employer fails to submit the information required by this section or does 7
not comply with requests from the Authority regarding this subsection and 8
subection[subsections] (1)[ and (2)] of this section to verify or audit the 9
employer's information: 10
1. The Authority shall indicate in the annual report submitted in 11
accordance with subsection (3) of this section that the employer is 12
noncompliant with the Authority's requests and shall include a brief 13
summary of the reasons for the Authority's determination; and 14
2. The employer may lose eligibility to receive any future appropriations or 15
subsidies from the state to assist in paying employer contributions to the 16
system, except that if an employer does not comply with requests from 17
the Authority pursuant to an audit conducted in accordance with 18
paragraph (a)2. of this subsection the employer shall lose eligibility to 19
receive any future appropriations or subsidies from the state to assist 20
in paying employer contributions to the system until such time the 21
employer complies with the audit; 22
(3) The Authority shall within sixty (60) days following the close of each fiscal year 23
occurring on or after July 1, 2021, determine and report the following to the state 24
budget director's office and the Legislative Research Commission for each employer 25
subject to this section, except for county attorneys: 26
(a) The number of regular full-time employees of the employer who were 27 UNOFFICIAL COPY 22 RS HB 668/GA
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reported to the system during the prior fiscal year for which contributions 1
were reported in accordance with KRS 61.675; 2
(b) The number of persons providing services to the employer under subsection 3
(1) of this section during the prior fiscal year who were not reported to the 4
system and for which no contributions were reported; 5
(c) A percentage computed by dividing the number of employees reported in 6
paragraph (a) of this subsection by the combined sum of the number of 7
employees and persons reported in paragraphs (a) and (b) of this subsection 8
and multiplying by one hundred (100); and 9
(d) The information required by subsection (2) of this section for any employer 10
who has been determined by the Authority to have knowingly falsified data or 11
is noncompliant in submitting the data required by this section to the 12
Authority; 13
(4) It is the intent of the General Assembly in fiscal years occurring on or after July 1, 14
2021, to provide appropriations for county attorneys for retirement costs in the 15
Kentucky Employees Retirement System that is equal to the difference between the 16
dollar value of actual contributions paid by the employer in fiscal year 2019-2020 to 17
the system and the dollar value of contributions projected to be paid by the 18
employer to the system in fiscal year 2021-2022; 19
(5) For fiscal year 2021-2022, it is the intent of the General Assembly to provide a 20
subsidy towards the retirement costs of employers covered by this section, except 21
for county attorneys who are provided a subsidy by subsection (4) of this section, 22
that is equal to the difference between the dollar value of actual contributions paid 23
by the employer to the system in fiscal year 2019-2020 and the dollar value of 24
contributions projected to be paid by the employer to the system in fiscal year 2021-25
2022; 26
(6) It is the intent of the General Assembly that for fiscal years occurring on or after 27 UNOFFICIAL COPY 22 RS HB 668/GA
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July 1, 2022: 1
(a) To provide a subsidy towards the retirement costs of each employer subject to 2
this section, except for county attorneys who are provided a subsidy by 3
subsection (4) of this section, who has made efforts to increase or maintain the 4
number of employees reported to the system. Specifically, it is the intent of 5
the General Assembly to provide subsidies only to those employers who have 6
a percentage of employees reported to the system as specified by subsection 7
(3)(c) of this section, equal to or greater than: 8
1. Sixty percent (60%) for any subsidies provided in fiscal years occurring 9
on or after July 1, 2022, to June 30, 2024; and 10
2. Eighty percent (80%) for any subsidies provided in fiscal years occurring 11
on or after July 1, 2024. 12
Eligibility for a subsidy provided in each fiscal year of the budget shall be 13
based upon the most recent percentage of employees reported by the 14
Authority; 15
(b) For those employers eligible for a subsidy under paragraph (a) of this 16
subsection, to provide a subsidy that is equal to the dollar value of the subsidy 17
provided to the employer in fiscal year 2021-2022 multiplied by the following 18
percentage: 19
1. For local and district health departments governed by KRS Chapter 212, 20
state-supported universities and community colleges, and any other 21
employer subject to this section that has taxing or fee authority: 22
a. Ninety percent (90%) in fiscal year 2022-2023; 23
b. Eighty percent (80%) in fiscal year 2023-2024; 24
c. Seventy percent (70%) in fiscal year 2024-2025; 25
d. Sixty percent (60%) in fiscal year 2025-2026; and 26
e. Fifty percent (50%) in fiscal years occurring on or after July 1, 27 UNOFFICIAL COPY 22 RS HB 668/GA
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2026; and 1
2. For any other employer who does not have taxing or fee authority: 2
a. Ninety percent (90%) in fiscal years 2022-2024; and 3
b. Seventy-five percent (75%) in fiscal years occurring on or after 4
July 1, 2024; and 5
(c) The subsidy provided by this subsection shall be adjusted to reflect the 6
assignment of liabilities based upon the appeal process in KRS 7
61.565(1)(d)5.;. 8
(7) The Council on State Governments (CSG), the Kentucky Educational Television 9
(KET) Foundation, Association of Commonwealth's Attorneys, the Kentucky High 10
School Athletic Association (KHSAA), the Municipal Power Association of 11
Kentucky, the Kentucky Office of Bar Admissions, the Nursing Home Ombudsman, 12
the Kentucky Association of Regional Programs (KARP), and the Kentucky 13
Association of Sexual Assault Programs are, notwithstanding the provisions of 14
subsections (1) to (6) of this section, exempt from the reporting requirements and 15
from receiving a subsidy to assist in paying employer contribution rates; and 16
(8) The provisions of this section shall not obligate the General Assembly to provide 17
any specific level of subsidy to assist in paying employer contributions of any 18
employer covered by this section, and employers shall be responsible for any and all 19
future retirement contributions payable by the employer regardless of the actual 20
amount of subsidy included in future executive branch budgets. 21
(9) For purposes of this section, "non-core services independent contractor" means 22
a company or business that is not owned or controlled, in whole or in part, by an 23
employer participating in the system, whose business is not limited to providing 24
services to one (1) or more employers participating in the system, but instead also 25
provides services to the general public or other public agencies not participating 26
in the system, which are limited to facilities services, grounds services, custodial 27 UNOFFICIAL COPY 22 RS HB 668/GA
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services, bookstore services, dining services, construction services, trade or 1
maintenance services, health services for university students and employees of the 2
employer, information technology services, public relation services, photography 3
services, design services, safety services at universities, hospitality services, 4
entertainment production services, mail services, printing and copier services, 5
sports arena and stadium management, farrier services, assistive services at 6
universities such as interpreters or sign language services, or delivery services. 7
Section 2. KRS 61.565 is amended to read as follows: 8
(1) (a) Each employer participating in the State Police Retirement System as 9
provided for in KRS 16.505 to 16.652 and the Kentucky Employees 10
Retirement System as provided for in KRS 61.510 to 61.705 shall contribute 11
annually to the respective retirement system an amount determined by the 12
actuarial valuation completed in accordance with KRS 61.670 and as specified 13
by this section. Employer contributions for each respective retirement system 14
shall be equal to the sum of the "normal cost contribution" and the "actuarially 15
accrued liability contribution." 16
(b) For purposes of this section, the normal cost contribution shall be computed as 17
a percentage of pay and shall be an annual amount that is sufficient when 18
combined with employee contributions to fund benefits earned during the year 19
in the respective system. The amount shall be: 20
1. Paid as a percentage of creditable compensation reported for each 21
employee participating in the system and accruing benefits; and 22
2. The same percentage of pay for all employees who are participating in 23
the same retirement system, except that separate percentage rates shall 24
be developed in each system for those employers whose employees are 25
participating in hazardous duty retirement coverage as provided by KRS 26
61.592. 27 UNOFFICIAL COPY 22 RS HB 668/GA
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(c) For purposes of this section, the actuarially accrued liability contribution for 1
all employers, except for contributions paid by nonhazardous employers in the 2
Kentucky Employees Retirement System on or after July 1, 2021, shall be: 3
1. Computed by amortizing the total unfunded actuarially accrued liability 4
of each system over a closed period of thirty (30) years beginning with 5
the 2019 actuarial valuation using the level percentage of payroll 6
amortization method, except that any increase or decrease in the 7
unfunded actuarially accrued liability occurring after the completion of 8
the 2019 actuarial valuation shall be amortized over a closed period of 9
twenty (20) years beginning with the actuarial valuation in which the 10
increase or decrease in the unfunded actuarially accrued liability is 11
recognized. An increase or decrease in the unfunded actuarially accrued 12
liability may result from, but not be limited to, legislative changes to 13
benefits, changes in actuarial methods or assumptions, or actuarial gains 14
or losses; 15
2. Paid as a percentage of payroll on the creditable compensation reported 16
for each employee participating in the system and accruing benefits; and 17
3. The same percentage of pay for all employees who are participating in 18
the same retirement system, except that separate percentage rates shall 19
be developed in each system for those employers whose employees are 20
participating in hazardous duty retirement coverage as provided by KRS 21
61.592. 22
(d) 1. For purposes of this section, the actuarially accrued liability contribution 23
for nonhazardous employers in the Kentucky Employees Retirement 24
System on or after July 1, 2021: 25
a. Shall be an annual dollar amount that is sufficient to amortize the 26
total unfunded actuarially accrued liability of the system over a 27 UNOFFICIAL COPY 22 RS HB 668/GA
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closed period of thirty (30) years beginning with the 2019 actuarial 1
valuation using the level percentage of payroll amortization 2
method, except that any increase or decrease in the unfunded 3
actuarially accrued liability occurring after the completion of the 4
2019 actuarial valuation shall be amortized over a closed period of 5
twenty (20) years beginning with the actuarial valuation in which 6
the increase or decrease in the unfunded actuarially accrued 7
liability is recognized. An increase or decrease in the unfunded 8
actuarially accrued liability may result from but not be limited to 9
legislative changes to benefits, changes in actuarial methods or 10
assumptions, or actuarial gains or losses; 11
b. Shall be prorated to each individual nonhazardous employer in the 12
Kentucky Employees Retirement System by multiplying the annual 13
dollar amount of the actuarially accrued liability contribution for 14
the system as determined by subdivision a. of this subparagraph by 15
the individual employer's percentage of the system's total 16
actuarially accrued liability as of the June 30, 2019, actuarial 17
valuation which shall be determined solely by the system's 18
consulting actuary and assigned to each employer based upon the 19
last participating employer of the member or retiree as of June 30, 20
2019. The individual employer's percentage of the system's total 21
actuarially accrued liability as of the June 30, 2019, actuarial 22
valuation shall be used to determine the individual employer's 23
prorated dollar amount of the system's actuarially accrued liability 24
contribution in all future fiscal years of the amortization period or 25
periods, except that the employer's percentage shall be adjusted to 26
reflect any employer who voluntarily or involuntarily ceases 27 UNOFFICIAL COPY 22 RS HB 668/GA
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participation as provided by KRS 61.522 and except as provided 1
by subparagraphs 4. and 5. of this paragraph. For purposes of this 2
subdivision, all executive branch departments, program cabinets 3
and their respective departments, and administrative bodies 4
enumerated in KRS 12.020, and any other executive branch 5
agencies administratively attached to a department, program 6
cabinet, or administrative body enumerated in KRS 12.020, shall 7
be considered a single individual employer and only one (1) value 8
shall be computed for these executive branch employers. For 9
purposes of this subdivision, all employers of the legislative 10
branch, including the Legislative Research Commission and the 11
General Assembly that covers legislators and staff who participate 12
in the Kentucky Employees Retirement System, shall be 13
considered a single individual employer and only one (1) value 14
shall be computed for these employers. For purposes of this 15
subdivision, all employers of the judicial branch, including the 16
Administrative Office of the Courts, the Judicial Form Retirement 17
System, and all master commissioners, shall be considered a single 18
individual employer and only one (1) value shall be computed for 19
these employers. Upon request by any nonhazardous employer 20
covered by this paragraph, the system shall, within ninety (90) 21
days of the employer's request, provide the requesting employer 22
with any: 23
i. Identifying, demographic, financial, or any other 24
information that was provided to the system's actuary to 25
determine the employer's share of the system's total 26
actuarially accrued liability, including individual data 27 UNOFFICIAL COPY 22 RS HB 668/GA
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provided to the actuary on each member, retiree, or 1
recipient whose cost was assigned to the employer. The 2
data shall also include identifying information that will 3
allow the employer to match its records to the members, 4
retirees, and recipients that resulted in the cost that has 5
been assigned to the employer; and 6
ii. Calculations produced by the actuary on each member, 7
retiree, or recipient during the completion of the valuation 8
that resulted in the cost assigned to the employer under this 9
paragraph. The data shall include identifying information 10
that will allow the employer to match it's records to the 11
members, retirees, and recipients that resulted in the cost 12
that has been assigned to the employer; 13
c. Shall be payable by an individual employer in equal monthly dollar 14
installments during the fiscal year in accordance with the reporting 15
requirements specified by KRS 61.675 so that the individual 16
employer pays its full prorated dollar amount of the actuarially 17
accrued liability contribution as determined by subdivision b. of 18
this subparagraph; and 19
d. Notwithstanding subdivision b. of this subparagraph for those 20
individual participating employers who are local and district health 21
departments governed by KRS Chapter 212, community mental 22
health centers, and employers whose employees are not subject to 23
KRS 18A.005 to 18A.200, who received or were eligible to 24
receive a distribution of general fund appropriations in the 2018-25
2020 biennial executive branch budget to assist in paying 26
retirement costs under 2018 Ky. Acts ch. 169, Part I, G., 4., (5); 27 UNOFFICIAL COPY 22 RS HB 668/GA
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2018 Ky. Acts ch. 169, Part I, G., 5., (2); or 2018 Ky. Acts ch. 169, 1
Part I, G., 9., (2), shall not, once the initial dollar amounts are 2
established in accordance with this paragraph, be adjusted in terms 3
of dollars paid by the individual employer, except that adjustments 4
shall be made by the system upon completion of an actuarial 5
investigation as provided by KRS 61.670, so long as at least four 6
(4) years have passed since the last adjustment to the actuarially 7
accrued liability contribution for these employers. The provisions 8
of this subdivision shall not be interpreted to mean that employers 9
described by this subdivision may continue paying the dollar value 10
of contributions or employer contribution rates established or paid 11
by the employer in budget periods occurring prior to July 1, 2021. 12
2. Individual employers, solely for purposes of collecting employer 13
contributions from various fund sources during the fiscal year, may 14
convert the actuarially accrued liability contribution established by this 15
paragraph to a percentage of pay and may adjust the percent of pay 16
during the fiscal year in order to pay the required dollar value of 17
actuarially accrued liability contribution required by this paragraph. No 18
provision of this subparagraph shall be construed to reduce an individual 19
employer's actuarially accrued liability contribution as otherwise 20
provided by this paragraph. 21
3. The provisions of this paragraph shall not apply to those employers who 22
cease participation as provided by KRS 61.522. 23
4. In the event an individual Kentucky Employees Retirement System 24
nonhazardous employer who is required to pay an actuarially accrued 25
liability contribution as provided by this paragraph and as calculated 26
from the 2019 actuarial valuation or subsequent valuations, merges with 27 UNOFFICIAL COPY 22 RS HB 668/GA
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another employer or entity, forms a new or separate employer or entity, 1
or splits or separates operations into multiple employers or entities, the 2
system shall, except for those employers or entities who pay the costs to 3
cease participation as provided by KRS 61.522, have full authority to 4
assign a portion or all of the total actuarially accrued liability 5
contribution to the merged, new, split, or separate employers or entities, 6
regardless of whether or not the merged, new, split, or separate 7
employers or entities participate in the system. In the case of a district 8
health department established pursuant to KRS Chapter 212, which 9
ceases to operate or which has a county or counties that withdraw from 10
the district health department, the systems shall assign the total 11
actuarially accrued liability contribution based upon the proportion of 12
taxable property of each county as certified by the Department for Public 13
Health in the Cabinet for Health and Family Services in accordance with 14
KRS 212.132. The system shall establish by administrative regulations 15
the process of assigning actuarially accrued liability contributions as 16
authorized by this subparagraph. 17
5. a. An employer who is not in the executive, legislative, or judicial 18
branch of Kentucky state government as enumerated in 19
subparagraph 1.b. of this paragraph may on or before July 1, 2021, 20
appeal to the board regarding any current or former employees or 21
retirees the employer believes should not be used to determine the 22
employer's percentage of the system's total actuarially accrued 23
liability. The only appeals that shall be submitted by the employer 24
or considered by the board shall be potential errors where the last 25
participating employer is in dispute, situations where employees of 26
the employer were hired through a contract between the executive 27 UNOFFICIAL COPY 22 RS HB 668/GA
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branch and the employer for the employee to provide services to 1
the executive branch, or situations where a community mental 2
health center was contracted to provide services at a facility 3
previously operated by the executive branch. The employer shall 4
submit the information required by the board to verify potential 5
errors or contract employees with employers. 6
b. The board shall review and issue a final determination regarding 7
any appeals by December 31, 2021. In situations where the board 8
determines the last participating employer was incorrect and 9
should be assigned to another employer, the system shall, effective 10
for employer contributions payable on or after July 1, 2022, assign 11
the cost to the executive branch until such time ownership of the 12
liability can be determined and assigned to the correct employer. In 13
situations where the board determines certain employees of 14
employers were hired through a contract between the executive 15
branch and the employer for an employee or employees to provide 16
services to the executive branch, those liabilities shall, effective for 17
employer contributions payable on or after July 1, 2022, be 18
assigned to the executive branch. In situations where the board 19
determines the community mental health center was contracted to 20
provide services at a facility previously operated by the executive 21
branch, the liabilities for employees providing services at that 22
facility shall be assigned to the executive branch. 23
c. No appeal shall be submitted by the employer or considered by the 24
board regarding the assumptions or methodology used by the 25
actuary to determine a particular employer's percentage of the 26
system's total actuarially accrued liability or the use of the last 27 UNOFFICIAL COPY 22 RS HB 668/GA
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participating employer to assign liabilities to an employer, except 1
as otherwise provided by this subparagraph. 2
d. The board shall within thirty (30) days following the final 3
determinations submit to the Public Pension Oversight Board the 4
list of appeals that were approved, the number of employees 5
involved, and any costs that will be transferred to the executive 6
branch effective July 1, 2022. 7
(e) The employer contributions computed under this section shall be determined 8
using: 9
1. The entry age normal cost funding method; 10
2. An asset smoothing method that smooths investment gains and losses 11
over a five (5) year period; and 12
3. Other funding methods and assumptions established by the board in 13
accordance with KRS 61.670. 14
(2) (a) Except as limited by subsection (1)(d)1.d. of this section as it relates to the 15
Kentucky Employees Retirement System, normal cost contribution rates and 16
the actuarially accrued liability contribution shall be determined by the board 17
on the basis of the annual actuarial valuation last preceding the July 1 of a new 18
biennium. 19
(b) The board shall not have the authority to amend contribution rates as of July 1 20
of the second year of the biennium for the Kentucky Employees Retirement 21
System and the State Police Retirement System. 22
(3) The system shall advise each employer prior to July 1 of any change in the employer 23
contribution rate. Based on the employer contribution rate, each employer shall 24
include in the budget sufficient funds to pay the employer contributions as 25
determined by the board under this section. 26
(4) All employers, including the General Assembly, shall pay the full actuarially 27 UNOFFICIAL COPY 22 RS HB 668/GA
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required contributions, as prescribed by this section, to the Kentucky Employees 1
Retirement System and the State Police Retirement System in fiscal years occurring 2
on or after July 1, 2020. 3
Section 3. KRS 61.661 is amended to read as follows: 4
(1) (a) Each current, former, or retired member's account shall be administered in a 5
confidential manner, and specific data regarding a current, former, or retired 6
member shall not be released for publication, except that: 7
1. The member or recipient may authorize the release of his or her account 8
information; 9
2. Kentucky Retirement Systems may release account information to the 10
employer or to other state and federal agencies as it deems necessary or 11
in response to a lawful subpoena or order issued by a court of law, 12
except that Kentucky Retirement Systems shall be required to release 13
account information to the employer as required by subsection 14
(1)(d)1.b. of Section 2 of this Act; or 15
3. a. Upon request by any person, the systems shall release the 16
following information from the accounts of any member or retired 17
member of the Kentucky Employees Retirement System, the 18
County Employees Retirement System, or the State Police 19
Retirement System, if the member or retired member is a current 20
or former officeholder in the Kentucky General Assembly: 21
i. The first and last name of the member or retired member; 22
ii. The system or systems in which the member has an account 23
or from which the retired member is receiving a monthly 24
retirement allowance; 25
iii. The status of the member or retired member, including but 26
not limited to whether he or she is a contributing member, a 27 UNOFFICIAL COPY 22 RS HB 668/GA
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member who is not currently contributing to the systems but 1
has not retired, a retired member, or a retired member who 2
has returned to work following retirement with an agency 3
participating in the systems; 4
iv. If the individual is a retired member, the monthly retirement 5
allowance that he or she was receiving at the end of the most 6
recently completed fiscal year; 7
v. If the individual is a member who has not yet retired, the 8
estimated monthly retirement allowance that he or she is 9
eligible to receive at his or her normal retirement date based 10
upon his or her service credit, final compensation, and 11
accumulated account balance at the end of the most recently 12
completed fiscal year; and 13
vi. The current employer or last participating employer of the 14
member or retired member, if applicable. 15
b. No information shall be disclosed under this subparagraph from an 16
account that is paying benefits to a beneficiary due to the death of 17
a member or retired member. 18
(b) A current, former, or retired member's account shall be exempt from the 19
provisions of KRS 171.410 to 171.990. 20
(c) The release of information under paragraph (a)3. of this subsection shall not 21
constitute a violation of the Open Records Act, KRS 61.870 to 61.884. 22
(2) (a) When a subpoena is served upon any employee of the Kentucky Retirement 23
Systems, requiring production of any specific data regarding a current, former, 24
or retired member, it is sufficient if the employee of the Kentucky Retirement 25
Systems charged with the responsibility of being custodian of the original 26
delivers within five (5) working days, by certified mail or by personal 27 UNOFFICIAL COPY 22 RS HB 668/GA
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delivery, legible and durable copies of records, certified by the employee, or 1
an affidavit stating the information required by the subpoena to the person 2
specified in the subpoena. The production of documents or an affidavit shall 3
be in lieu of any personal testimony of any employee of the Kentucky 4
Retirement Systems unless, after the production of documents or affidavit, a 5
separate subpoena is served upon the systems specifically directing the 6
testimony of an employee of the systems. When a subpoena is served on any 7
employee of the systems requiring the employee to give deposition for any 8
purpose, in the absence of a court order requiring the deposition of a specific 9
employee, the systems may designate an employee to be deposed upon the 10
matter referred to in the subpoena. 11
(b) The certification required by this subsection shall be signed before a notary 12
public by the employee and shall include the full name of the member or 13
recipient, the member's or recipient's Social Security number, and a legend 14
substantially to the following effect: "The records are true and complete 15
reproductions of the original or microfiched records which are housed in the 16
retirement systems office. This certification is given in lieu of his or her 17
personal appearance." 18
(c) When an affidavit or copies of records are personally delivered, a receipt shall 19
be presented to the person receiving the records for his signature and shall be 20
immediately signed and returned to the person delivering the records. When 21
an affidavit or copies of records are sent via certified mail, the receipt used by 22
the postal authorities shall be sufficient to prove delivery and receipt of the 23
affidavit or copies of records. 24
(d) When the affidavit or copies of records are delivered to a party for use in 25
deposition, they shall, after termination of the deposition, be delivered 26
personally or by certified mail to the clerk of the court or other body before 27 UNOFFICIAL COPY 22 RS HB 668/GA
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HB066810.100 - 1796 - XXXX GA
which the action or proceeding is pending. It shall be the responsibility of the 1
party or attorney to transmit the receipt obtained to the employee of the 2
Kentucky Retirement Systems charged with responsibility of being custodian 3
of the original. Upon issuance of a final order terminating the case and after 4
the normal retention period for court records expires, the affidavit or copies of 5
records shall be permanently disposed of by the clerk in a manner that protects 6
the confidentiality of the information contained therein. 7
(e) Records of the Kentucky Retirement Systems that are susceptible to 8
photostatic reproduction may be proved as to foundation, identity, and 9
authenticity without any preliminary testimony, by use of legible and durable 10
copies, certified in accordance with the provisions of this subsection. 11
Section 4. The amendments to Sections 1 to 3 of this Act shall be retroactive to 12
July 1, 2021. 13
Section 5. Whereas ensuring the efficient operation of the Kentucky Employees 14
Retirement System is critical to the Commonwealth of Kentucky and to members, 15
retirees, and employers of the system, an emergency is declared to exist, and this Act 16
takes effect upon its passage and approval by the Governor or upon its otherwise 17
becoming law. 18