2019 Regular Session Legislative Summary
The following is a summary of the seven Bills and two Resolutions passed during the 2019 Regular Session of the Kentucky General Assembly that will have an impact on Kentucky Retirement Systems (KRS).
Please click on the hyperlink to read each bill in its entirety:
1. House Bill 55, signed by the Governor on March 26.
SUMMARY: The bill voids the retirement of an elected official participating in KRS who retires and is elected to the same office within twelve (12) months of retiring.
2. House Bill 80 (KRS housekeeping bill). Signed by the Governor on March 26.
SUMMARY: The bill allows electronic balloting for Trustee elections and synchronizes the two separate CERS elections into one election cycle, which should increase voter participation and save the Systems money by greatly reducing ballot printing and mailing costs. House Bill 80 also grants KRS more authority to work cooperatively with participating agencies who are delinquent with their monthly reporting requirements; and it gives KRS permission to deposit the 1% employee contribution for retiree health for Tier 2 and Tier 3 members into an account that lets the money be better used for paying premiums.
3. House Bill 381, signed by the Governor on March 26.
SUMMARY: Allows postsecondary institutions to employ retired police officers who meet certain eligibility requirements. The officer may serve for a term not to exceed one year, but the one year employment term may be renewed annually.
4. House Bill 419, signed by the Governor on March 26.
SUMMARY: Requires members to certify at the time of retirement that no prearranged agreement exists between the member and any participating agency, rather than requiring the certification upon reemployment.
The bill also provides that a reemployed retiree shall no longer be required to notify the systems if their reemployment, contracting, volunteering, or serving as a leased employee first occurs with a participating agency after a period of 12 months following the member's initial retirement date. This change should make the process much less cumbersome for our members and greatly reduce the number of retired reemployed applications that have to be reviewed by the Systems' legal team.
Please Note: HB 419 did NOT change the bona fide separation from service requirement nor the required duration of separation from service before re-employing with a participating agency.
5. House Bill 489, signed by the Governor on March 25.
SUMMARY: Requires the Systems' internal investment staff and investment consultants to comply with certain federal statutes, rules, and regulations applicable to investment managers. This bill enhances previous legislation designed to improve the governance of our investments.
6. Senate Bill 1, signed by the Governor on March 11. The bill has an EMERGENCY clause, so it went into effect as soon as the Governor signed the bill.
SUMMARY: Although primarily a "school safety" law, Senate Bill 1 contains a provision that says Special Law Enforcement Officers (SLEOs) will be treated the same as School Resource Officers (SROs) for retired reemployed purposes.
7. Senate Bill 162, signed by the Governor on April 9.
SUMMARY: Exempts employers from paying contributions on a retiree employed as a school security officer.
Finally, due to legislative changes from the 2017 Session, Gubernatorial appointees to the KRS Board of Trustees now require Senate confirmation.
8. Senate Resolution 206. Adopted by the Senate on March 28.
SUMMARY: Confirms the reappointment of John Chilton to the KRS Board of Trustees for a term to expire on June 17, 2022.
9. Senate Resolution 207. Adopted by the Senate on March 28.
SUMMARY: Confirms the reappointment of David Harris to the KRS Board of Trustees for a term to expire on June 17, 2022.
Legislative Session Overview
The 2019 Regular Session of the Kentucky General Assembly began on Tuesday, January 8, 2019 and adjourned Sine Die on Thursday, March 28, 2019.
During legislative sessions, Kentucky Retirement Systems tracked proposed legislation of importance to the Systems and its members as the legislation moves through the process. We also assisted legislators, government officials and other stakeholders by providing information on KRS-administered benefit programs and addressing constituent inquiries throughout the year.
Please be advised that these legislative summaries are intended for general informational purposes only and should not be relied upon as legal advice regarding the legislative meaning, purpose, intent, application or administration of a particular statutory change.
If you have questions or concerns regarding the impact of a particular piece of legislation, please contact the Legislative Research Commission or a qualified attorney. If you have questions regarding your Kentucky Retirement Systems benefits, please contact the Retirement Systems through our webpage at kyret.ky.gov or by telephone at (800) 928-4646.