Kentucky Administrative Regulations › Title 105 - KENTUCKY PUBLIC PENSION AUTHORITY › Chapter 1 - General Rules › Section 105 KAR 1:170 - Membership form requirements

Current through Register Vol. 51, No. 1, July 1, 2024
RELATES TO:
				KRS
				16.530,
				61.525,
				61.526,
				61.540,
				61.542,
				61.545,
				61.625,
				78.540
NECESSITY, FUNCTION, AND CONFORMITY:
				KRS
				61.645(9)(e)[(g)] authorizes
				the Board of Trustees of Kentucky Retirement Systems to promulgate all
				administrative regulations necessary or proper in order to carry out the
				provisions of
				KRS
				61.515 to
				61.705,
				16.510
				to
				16.652,
				and
				78.520
				to
				78.852.
				KRS
				16.530,
				61.526
				and
				61.540
				require a member of the Kentucky Employees Retirement System, County Employees
				Retirement System or State Police Retirement System to file information with
				the Board of Trustees as a condition of membership.
				KRS
				61.542 requires a member to file a
				designation of beneficiary.
				KRS
				61.625 establishes the conditions under which
				a member may apply for a refund.
				26 U.S.C.
				401(a) provides that a
				qualified pension plan cannot make distributions prior to normal retirement age
				if a separation from service has not occurred. This administrative regulation
				establishes the information required for membership and establishes that the
				member shall not receive a refund unless the member has terminated
				employment.
Section 1. An employee
			 eligible for participation on the date his agency first participates shall
			 complete a "Form 2010, Election or Rejection of Participation", designating his
			 desire to participate in or waive participation and benefits in the retirement
			 system. The original form shall be kept on file in the retirement
			 office.
Section 2. Within thirty
			 (30) days of participation, an employee who is required to participate or who
			 elects to participate shall complete a "Form 2001, Membership Information". The
			 membership form shall be kept on file in the retirement office.
Section 3. An employee may also complete a
			 "Form 2035, Beneficiary Designation" which shall be sent to the retirement
			 office.
Section 4.
(1) If an employee is simultaneously eligible
			 to participate in more than one (1) of the Kentucky Retirement Systems, the
			 employee may elect to participate in only one (1) system and waive
			 participation in and any rights to benefits from the employment in the other
			 system during the period of simultaneous employment.
(2) The employee shall notify the retirement
			 system in writing of his intent to exercise this right under
			 KRS
			 61.545(3). Upon receipt of
			 the notification, the retirement system shall provide the employee with an
			 estimate of the benefits that may be forfeited by the employee and the "Form
			 2026, Simultaneous Employment Choice of Systems", necessary for making an
			 election.
(3) If the employee does
			 not complete and return the form, the employee shall participate in both
			 systems simultaneously and his service shall be prorated between the systems
			 based on his ratio of his creditable compensation in each system to his total
			 creditable compensation from all systems.
(4) If the employee submits the completed
			 form, the employer that participates in the system in which the employee
			 rejected participation shall be notified that it shall not report creditable
			 compensation or contributions on the employee for the period of simultaneous
			 employment. If contributions were reported prior to receipt of the form, the
			 employer and employee contributions shall be refunded to the employer and
			 employee and all service credit under that system shall be deleted from the
			 employee's account for the period of simultaneous
			 employment.