2015 Kentucky Revised Statutes CHAPTER 21 - JUDICIAL RETIREMENT 21.370 Term of service to qualify if member began participating before January 1, 2014 -- Transfer of service credit to Judicial Retirement Plan -- Purchase of service credit for service as police judge and for military service -- Special provisions for active members.
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21.370 Term of service to qualify if member began participating before January 1,
2014 -- Transfer of service credit to Judicial Retirement Plan -- Purchase of
service credit for service as police judge and for military service -- Special
provisions for active members.
(1)
(2)
(3)
(a)
Except as provided in subsection (2) of KRS 21.410 and in subsection (2) of
KRS 21.420, no benefits shall be payable under KRS 21.350 to 21.480 to any
member who began participating in the Judicial Retirement Plan prior to
January 1, 2014, or to his surviving spouse, unless he has completed at least
eight (8) years of service, including service before becoming a member.
(b) No surviving spouse of a retired member shall be entitled to any benefits
unless the person was the spouse of the member at the time he retired.
A member who began participating in the Judicial Retirement Plan prior to January
1, 2014, who has qualified for benefits under this section may transfer to the
Judicial Retirement Plan up to ten (10) years of service credit which he has earned
in a retirement system administered by Kentucky Retirement Systems, and he may
transfer to the Judicial Retirement Plan up to ten (10) years of service credit which
he has earned in the Kentucky Legislators' Retirement Plan. If the member elects to
transfer his service credit, the system or plan from which the transfer is made shall
transfer to the judicial retirement fund an amount equal to the employee's and
employer's contributions attributable to that credit, together with interest on the
contributions from the date made to the date of transfer at the actuarially assumed
interest rate of the system or plan from which the transfer is made in effect at the
time the contributions were made, compounded annually at that same interest rate.
The member shall be entitled to the transferred service credit, at the rate at which he
qualifies under KRS 21.400, when he pays the total difference between the amount
of the funds transferred and the cost of the credit to the Judicial Retirement Plan, as
determined by the actuary for the Judicial Retirement Plan. The member may pay by
transfer, if authorized under subsection (5)(d) of this section, or by lump sum or
increments as set forth in subsection (4)(b) of this section. The payments made
under this section shall be considered accumulated contributions of the member and
shall not be picked up by the employer under KRS 21.360(6).
Any active member who began participating in the Judicial Retirement Plan prior to
January 1, 2014, who is vested in the Judicial Retirement Plan under subsection (1)
of this section or KRS 21.375, shall receive service credit for a maximum of four
(4) years for his period of service as a city police judge for a city within the
Commonwealth of Kentucky, if the service was performed prior to the first Monday
in January, 1978, and if the service has not been credited to the member's account
with any other public defined benefit plan, by paying the retirement system one
hundred percent (100%) of the actuarial cost of the service as determined by the
board of trustees, based on assumptions used in the most recent biennial evaluation.
The period of service to be purchased shall be certified to the board of trustees by
the custodian of the records of the city for which the service was performed. The
service credit shall be awarded and the cost shall be determined in conformity with
the rate which applies to the member in question under KRS 21.400. Service credit
(4)
awarded under this subsection shall be equivalent, for all purposes of the Judicial
Retirement Plan, to other service credit earned in the plan. The payments made
under this section shall be considered accumulated contributions of the member and
shall not be picked up by the employer under KRS 21.360(6).
(a) 1.
Any active member who began participating in the Judicial Retirement
Plan prior to January 1, 2014, who is vested in the Judicial Retirement
Plan under subsection (1) of this section or KRS 21.375, or his
beneficiary acting in his place if the member dies prior to retirement,
shall receive service credit for a maximum of four (4) years for his
period of service in the Armed Forces of the United States, if his
discharge therefrom is honorable and he has not been credited with the
service by any other retirement system administered by the
Commonwealth of Kentucky, by paying the retirement system thirty-five
percent (35%) of the actuarial cost of the service as determined by the
board of trustees, based on assumptions used in the most recent biennial
evaluation. The service credit shall be awarded and the cost shall be
determined in conformity with the rate which applies to the member in
question under KRS 21.400. Service credit awarded under this
subsection shall be equivalent, for all purposes of the Judicial
Retirement Plan, to other service credit earned in the plan.
2.
Any active member who began participating in the Judicial Retirement
Plan prior to January 1, 2014, who is vested in the Judicial Retirement
Plan may purchase and receive service credit for one (1) month of
service for each six (6) months of service in the reserves or the National
Guard by paying the retirement system one hundred percent (100%) of
the actuarial cost of the service as determined by the board of trustees,
based on assumptions used in the most recent biennial evaluation. The
service credit shall be awarded and the cost shall be determined in
conformity with the rate that applies to the member in question as
provided in KRS 21.400. Service credit awarded under this subsection
shall be equivalent, for all purposes of the Judicial Retirement Plan, to
other service credit earned in the plan. The service in the military
reserves or the National Guard shall be treated as service earned prior to
participation in the plan. The purchase can be made by the member in a
transfer, if authorized under subsection (5)(d) of this section, or by a
lump-sum payment or installment payments. The payment shall not be
picked up by the employer as provided in KRS 21.360(6).
(b) The member, if the member began participating in the Judicial Retirement
Plan prior to January 1, 2014, may purchase all of his military service credit at
one (1) time, or in increments of no less than one (1) year, unless there is a
fraction remaining after all full years have been paid for. Payment of the total
or the increment may be made by lump sum or by monthly installments
through payroll deduction. If the member chooses to pay by installment, the
cost of the service credit shall be computed in the same manner as for a lumpsum payment, which shall be the principal. Interest, at the annual actuarial rate
(c)
(5)
(a)
(b)
in effect at the time each payment is made, shall be added to each monthly
payment at the rate of one-twelfth (1/12) of the annual interest rate applied to
the declining principal amount. Installment purchases shall be for no less than
twelve (12) nor more than sixty (60) months. If the member leaves office
before completing his installment payments, he may satisfy his contract by a
lump-sum payment of the remaining principal amount, but no further
installment payments shall be accepted thereafter. In this case, the member
shall be credited with the military service credit for which he has paid, in
years or months but no fraction less than a full month, and any payment
remaining after credit for full months has been awarded shall be returned to
the member.
The payments made under this section shall be considered accumulated
contributions of the member and shall not be picked up by the employer under
KRS 21.360(6).
Any active member who began participating in the Judicial Retirement Plan
prior to January 1, 2014, who is vested in the Judicial Retirement Plan under
subsection (1) of this section or KRS 21.375 shall receive service credit for a
maximum of four (4) years each for his period of service as a Domestic
Relations Commissioner, a Master Commissioner, or a District Court Trial
Commissioner of the Commonwealth of Kentucky, or a combination thereof,
if the service has not been credited to the member's account with any other
public defined benefit plan, by paying the retirement system one hundred
percent (100%) of the actuarial cost of the service as determined by the board
of trustees, based on assumptions used in the most recent biennial evaluation.
The period of service to be purchased shall be certified to the board of trustees
by the custodian of the records. The service credit shall be awarded and the
cost shall be determined in conformity with the rate that applies to the
member in question under KRS 21.400. Service credit awarded under this
subsection shall be equivalent, for all purposes of the Judicial Retirement
Plan, to other service credit earned in the plan. The member may pay by
transfer as set forth in paragraph (d) of this subsection, or by lump sum or
increments as set forth in subsection (4)(b) of this section. The payments
made under this section shall be considered accumulated contributions of the
member and shall not be picked up by the employer under KRS 21.360(6).
Any active member who began participating in the Judicial Retirement Plan
prior to January 1, 2014, who is vested in the Judicial Retirement Plan under
subsection (1) of this section or KRS 21.375 shall receive service credit for
his period of service to the United States Government, other than service in
the Armed Forces, if the service has not been credited to the member's account
with any other public defined benefit plan, by paying the retirement system
one hundred percent (100%) of the actuarial cost of the service as determined
by the board of trustees, based on assumptions used in the most recent
biennial evaluation. The period of service to be purchased shall be certified to
the board of trustees by the custodian of the records. The service credit shall
be awarded and the cost shall be determined in conformity with the rate that
(c)
(d)
applies to the member in question under KRS 21.400. Service credit awarded
under this subsection shall be equivalent, for all purposes of the Judicial
Retirement Plan, to other service credit earned in the plan. The member may
pay by transfer as set forth in paragraph (d) of this subsection, or by lump sum
or increments as set forth in subsection (4)(b) of this section. The payments
made under this section shall be considered accumulated contributions of the
member and shall not be picked up by the employer under KRS 21.360(6).
Any member who began participating in the Judicial Retirement Plan prior to
January 1, 2014, who was in office on June 21, 2001, and who was in active
contributing status to the applicable retirement plan on June 21, 2001, and
who has at least one hundred eighty (180) months of service credit may
purchase a combined maximum total of five (5) years retirement service credit
that is not otherwise purchasable, by paying the retirement system one
hundred percent (100%) of the actuarial cost of the service as determined by
the board of trustees, based on assumptions used in the most recent biennial
evaluation. The service credit shall be awarded and the cost shall be
determined in conformity with the rate that applies to the member in question
under KRS 21.400. Service credit awarded under this subsection shall be
equivalent, for all purposes of the Judicial Retirement Plan, to other service
credit earned in the plan, except that the service purchased under this
subsection shall not be used in determining a retirement allowance until the
member has accrued at least two hundred forty (240) months of service,
excluding service purchased under this subsection. If the member does not
accrue at least two hundred forty (240) months of service, excluding service
purchased under this subsection, then upon retirement, death, or written
request following termination, the payment shall be refunded. The member
may pay by transfer as set forth in paragraph (d) of this subsection, or by lump
sum or increments as set forth in subsection (4)(b) of this section. The
payments made under this section shall be considered accumulated
contributions of the member and shall not be picked up by the employer under
KRS 21.360(6).
A member of the Judicial Retirement Plan may purchase service credit under
the provisions of this section by transferring funds through a direct trustee-totrustee transfer permitted under the applicable sections of the Internal
Revenue Code and any regulations or rulings issued thereunder, or through a
direct rollover as contemplated by and permitted under 26 U.S.C. sec.
401(a)(31). Service credit may also be purchased by a rollover of funds
pursuant to and permitted under the rules specified in 26 U.S.C. sec. 402(c)
and 26 U.S.C. sec. 408(d)(3). The Judicial Retirement Fund shall accept the
transfer or rollover to the extent permitted under the rules specified in the
applicable provisions of the Internal Revenue Code and any regulations and
rulings issued thereunder. The amount shall be credited to the individual
member's contribution account and shall be considered accumulated
contributions of the member and shall not be picked up by the employer under
KRS 21.360(6).
Effective: July 1, 2013
History: Amended 2013 Ky. Acts ch. 120, sec. 21, effective July 1, 2013. -- Amended
2005 Ky. Acts ch. 86, sec. 7, effective June 20, 2005. -- Amended 2002 Ky. Acts ch.
90, sec. 3, effective July 15, 2002; and ch. 258, sec. 2, effective July 15, 2002. -Amended 2001 Ky. Acts ch. 146, sec. 1, effective June 21, 2001. -- Amended 1998
Ky. Acts ch. 389, sec. 7, effective July 15, 1998. -- Amended 1994 Ky. Acts ch. 266,
sec. 2, effective July 15, 1994. – Amended 1992 Ky. Acts ch. 189, sec. 1, effective
July 14, 1992. -- Amended 1990 Ky. Acts ch. 480, sec. 1, effective July 13, 1990. -Amended 1974 Ky. Acts ch. 386, sec. 2. -- Amended 1962 Ky. Acts ch. 9, sec. 4. -Created 1960 Ky. Acts ch. 84, Art. III, sec. 3.
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