2014 Kentucky Revised Statutes CHAPTER 78 - COUNTY EMPLOYEES' CIVIL SERVICE AND RETIREMENT 78.616 Purchase of service credit with retirement system for unused sick leave of members who began participating before January 1, 2014 -- Alternative.
Download as PDF
78.616 Purchase of service credit with retirement system for unused sick
leave of members who began participating before January 1, 2014 -Alternative.
(1)
(2)
(3)
Any agency participating in the County Employees Retirement System which
has formally adopted a sick-leave program that is universally administered to
its employees may purchase service credit with the retirement system for up to
six (6) months of unused sick leave for each retiring employee.
Participation under this section shall be at the option of each participating
employer. The election to participate shall be made by the governing authority
of the participating employer and shall be certified in writing to the system on
forms prescribed by the board. The certification shall provide for equal
treatment of all employees participating under this section.
(a) Upon the member's notification of retirement as prescribed in KRS
61.590, the employer shall certify the retiring employee's unused,
accumulated sick-leave balance to the system. The member's sick-leave
balance, expressed in days, shall be divided by the average number of
working days per month in county service and rounded to the nearest
number of whole months. A maximum of six (6) months of the member's
sick-leave balance, expressed in months, shall be added to his service
credit for the purpose of determining his annual retirement allowance
under KRS 78.510 to 78.852 and for the purpose of determining whether
the member is eligible to receive a retirement allowance under KRS
78.510 to 78.852, except as provided by paragraph (d) of this subsection.
Accumulated sick-leave in excess of six (6) months shall be added to the
member's service credit if the member or employer pays to the retirement
system the value of the additional service credit based on the formula
adopted by the board, subject to the restrictions provided by paragraph
(d) of this subsection.
(b) The employer may elect to pay fifty percent (50%) of the cost of the sick
leave in excess of six (6) months on behalf of its employees. The
employee shall pay the remaining fifty percent (50%). The payment by the
employer shall not be deposited to the member's account. Service credit
shall not be credited to the member's account until both the employer's
and employee's payments are received by the retirement system.
(c) Once the employer elects to pay all or fifty percent (50%) of the cost on
behalf of its employees, it shall continue to pay the same portion of the
cost.
(d) For a member who begins participating in the retirement system on or
after September 1, 2008, but prior to January 1, 2014, whose employer
has established a sick-leave program under subsections (1) to (4) and (6)
of this section:
1.
The member shall receive no more than twelve (12) months of
service credit upon retirement for accumulated unused sick leave
accrued while contributing to the retirement system from which the
retirement benefit is to be paid;
2.
The service added to the member's service credit shall be used for
purposes of determining the member's annual retirement allowance
(4)
(5)
(6)
(7)
under KRS 78.510 to 78.852;
3.
The service added to the member's service credit shall not be used
to determine whether a member is eligible to receive a retirement
allowance under KRS 78.510 to 78.852; and
4.
The cost of the service provided by this paragraph shall be paid by
the employer.
The system shall compute the cost of the sick-leave credit of each retiring
employee and bill each employer with whom the employee accrued sick leave
accordingly. The employer shall remit payment within thirty (30) days from
receipt of the bill.
(a) As an alternative to subsections (1), (3), (4), and (6) of this section, any
agency participating in the County Employees Retirement System which
has formally adopted a sick-leave program that is universally
administered to its employees, or administered to a majority of eligible
employees in accordance with subsection (6) of this section, shall, at the
time of termination, or as provided in KRS 161.155 in the case of school
boards, compensate the employee for unused sick-leave days the
employee has accumulated which it is the uniform policy of the agency to
allow.
(b) The rate of compensation for each unused sick-leave day shall be based
on the daily salary rate calculated from the employee's current rate of
pay. Payment for unused sick-leave days shall be incorporated into the
employee's final compensation if the employee and employer make the
regular employee and employer contributions, respectively, on the
sick-leave payment.
(c) The number of sick-leave days for which the employee is compensated
shall be divided by the average number of working days per month in
county service and rounded to the nearest number of whole months. This
number of months shall be added to the employee's total service credit
and to the number of months used to determine creditable compensation,
pursuant to KRS 78.510, but no more than sixty (60) months shall be
used to determine final compensation. For an employee who begins
participating on or after September 1, 2008, but prior to January 1, 2014,
the number of months added to the employee's total service credit under
this paragraph shall not exceed twelve (12) months, and the additional
service shall not be used to determine whether a member is eligible to
receive a retirement allowance under KRS 78.510 to 78.852.
Any city of the first class that has two (2) or more sick-leave programs for its
employees may purchase service credit with the retirement system for up to six
(6) months of unused sick leave for each retiring employee who participates in
the sick-leave program administered to a majority of the eligible employees of
the city. An employee participating in a sick-leave program administered to a
minority of the eligible employees shall become eligible for the purchase of
service credit under this subsection when the employee commences
participating in the sick-leave program that is administered to a majority of the
eligible employees of the city.
The provisions of this section shall not apply to employees who begin
participating in the system on or after January 1, 2014, and no service credit
shall be provided for accumulated sick leave balances of those employees who
begin participating in the system on or after January 1, 2014.
Effective:July 1, 2013
History: Amended 2013 Ky. Acts ch. 120, sec. 76, effective July 1, 2013. -Amended 2008 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 26, effective June 27,
2008. -- Amended 2002 Ky. Acts ch. 52, sec. 21, effective July 15, 2002. -Amended 2000 Ky. Acts ch. 385, sec. 36, effective July 14, 2000. -- Amended
1998 Ky. Acts ch. 105, sec. 24, effective July 15, 1998; and ch. 262, sec. 1,
effective July 15, 1998. -- Amended 1992 Ky. Acts ch. 240, sec. 58, effective
July 14, 1992. -- Amended 1988 Ky. Acts ch. 11, sec. 18, effective July 15,
1988; ch. 349, sec. 37, effective July 15, 1988; and ch. 366, sec. 4, effective
July 15, 1988. -- Created 1984 Ky. Acts ch. 232, sec. 10, effective July 13, 1984.
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.