Download as PDF
161.614 Court-ordered back salary and reinstatement.
A court order awarding additional back salary to or reinstating a member as a result
of employment in a position covered by the Kentucky Teachers Retirement System
shall entitle the member to additional salary or service credit, or both, under the
following circumstances:
(1) Members shall make contributions to the Kentucky Teachers Retirement
System at the rate set forth in KRS 161.540 and members employers shall
make contributions at the rate set forth in KRS 161.550, with interest accruing
on all contributions at the rate of eight percent (8%) per annum from the end of
each fiscal year that back salary or the reinstatement was ordered.
Contributions, plus interest, shall be made for each year that back salary or
reinstatement was ordered. No service or salary credit shall be credited to a
members account unless full contributions are paid to the Kentucky
Teachers Retirement System;
(2) The member may have court-ordered back salary credited to his or her
account only to the extent that the member actually received payment for the
back salary and only to the extent that the court-ordered back salary is within
the salary scale that was available to the member in the covered position for
the years that the back salary was awarded. Court-ordered back salary can be
credited to the members account only as permitted under KRS 161.220(9)
and (10). The member may have court-ordered service credited to his or her
account only after the retirement system has received the contributions and
interest on the full compensation that would normally be earned in the position
that is the subject of the litigation;
(3) The members employer ordered to pay back salary or to reinstate the
member by a court of competent jurisdiction shall provide the retirement
system with a breakdown of the back salary awarded to the member on a
year-by-year basis;
(4) The calculations of the contributions and interest required to be paid for
court-ordered back salary or reinstatement shall be provided by the retirement
system to the member or the members employer at the members or
employers request. Requests for these calculations shall be made with at
least two (2) weeks of advance notice to the retirement system to provide these
calculations. The retirement system will calculate accrued interest as of the last
day of the month during which payment of the full contributions are made;
(5) For purposes of this section, a settlement agreement that provides back salary
or reinstatement, and is adopted by order or judgment of a court of competent
jurisdiction or is referenced in an order dismissing the action as settled shall
have the same effect as a court order adjudicating the matter. Orders entered
by a government board or agency as a result of litigation conducted on an
administrative hearing level and legally binding arbitration awards shall be
considered as court orders for the purposes of this section; and
(6) Under no circumstances shall a member be entitled to service credit as a result
of court-ordered reinstatement that is in violation of the provisions of KRS
161.500.
Effective:July 1, 2008
History: Amended 2008 Ky. Acts ch. 78, sec. 16, effective July 1, 2008. --
Amended 2004 Ky. Acts ch. 121, sec. 18, effective July 1, 2004. -- Created 2002
Ky. Acts ch. 275, sec. 2, effective July 1, 2002.
Disclaimer: These codes may not be the most recent version. Kentucky may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.