2013 Kentucky Revised Statutes CHAPTER 90 - CITY CIVIL SERVICE 90.410 Pension fund in cities of the third class -- Increase in benefits -- Coverage provided in County Employees Retirement System after August 1, 1988.
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90.410 Pension fund in cities of the third class -- Increase in benefits -Coverage provided in County Employees Retirement System after August
1, 1988.
(1)
(2)
(3)
(4)
(5)
Any city of the third class adopting a civil service plan under KRS 90.310 may
provide by ordinance for the creation and maintenance of a pension fund for
the benefit of employees under civil service, and may assess monthly such
amount or percent of the salary of employees as may be equitably determined
on a fair actuarial basis, not to exceed five percent (5%) of the monthly salary
of any employee. The city legislative body shall contribute city revenues to the
fund which shall be not less than the contributions of the employees.
The city may create a board for the pension fund and designate trustees of that
board, and may fix the powers of trustees, determine the eligibility of
employees or their dependents to a pension or other benefit, and may provide
a monthly allowance for employees eligible for a pension, not to exceed
one-half (1/2) of the monthly salary of any employee at the time of his
retirement.
In order to adjust retirement benefits to the purchasing power of the dollar, the
city may annually provide an increase in benefits paid pursuant to this section.
The city may provide an increase of any amount up to the increase in the
consumer price index calculated pursuant to KRS 64.527, but in no case shall
the annual increase exceed five percent (5%). The city may grant the first
increase in 1990.
When any city of the third class adopts an ordinance under this section for the
creation of a pension fund, picks up employee contributions pursuant to KRS
65.155, or accepts from its employees a portion of their wages and contributes
city funds therefor, an inviolable contract shall be created between the city as
employer and its employees, and the city and its employees shall continue to
operate under KRS 90.310 to 90.390 and the adopting ordinance, except that
employees, pursuant to subsection (5) of this section, may choose to
participate in the County Employees Retirement System. A repeal of that
ordinance by the city shall in no wise affect such employees unless by the
mutual consent of the city and an employee or employees.
After August 1, 1988, no new pension fund shall be created pursuant to this
section, and cities which were covered by this section on or prior to August 1,
1988, shall participate in the County Employees Retirement System effective
August 1, 1988. Any city which provided a pension plan for its employees on or
prior to August 1, 1988, shall place employees hired after August 1, 1988, in
the County Employees Retirement System. The board shall offer employees
hired on or prior to August 1, 1988, membership in the County Employees
Retirement System under the alternate participation plan as described in KRS
78.530(3), but such employees may elect to retain coverage under this section.
Effective:July 13, 1990
History: Amended 1990 Ky. Acts ch. 118, sec. 3, effective July 13, 1990. -Amended 1988 Ky. Acts ch. 11, sec. 9, effective July 15, 1988. -- Amended
1984 Ky. Acts ch. 177, sec. 9, effective July 13, 1984; and ch. 192, sec. 6,
effective July 13, 1984. -- Amended 1982 Ky. Acts ch. 166, sec. 47, effective
July 15, 1982; and ch. 297, sec. 6, effective July 15, 1982. -- Recodified 1942
Ky. Acts ch. 208, sec. 1, effective October 1, 1942, from Ky. Stat.
secs. 3480e-2, 3480e-10.
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