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61.637 Suspension of retirement payments on reemployment -- Reinstatement -- Recomputation of allowance -- Waiver of provisions in certain instances -- <br>Reemployment in a different position -- Effect of reemployment of retired <br>member participating on or after September 1, 2008. (1) A retired member who is receiving monthly retirement payments under any of the provisions of KRS 61.510 to 61.705 and 78.510 to 78.852 and who is reemployed <br>as an employee by a participating agency prior to August 1, 1998, shall have his <br>retirement payments suspended for the duration of reemployment. Monthly <br>payments shall not be suspended for a retired member who is reemployed if he <br>anticipates that he will receive less than the maximum permissible earnings as <br>provided by the Federal Social Security Act in compensation as a result of <br>reemployment during the calendar year. The payments shall be suspended at the <br>beginning of the month in which the reemployment occurs. (2) Employer and employee contributions shall be made as provided in KRS 61.510 to 61.705 and 78.510 to 78.852 on the compensation paid during reemployment, <br>except where monthly payments were not suspended as provided in subsection (1) <br>of this section or would not increase the retired member's last monthly retirement <br>allowance by at least one dollar (&#36;1), and the member shall be credited with <br>additional service credit. (3) In the month following the termination of reemployment, retirement allowance payments shall be reinstated under the plan under which the member was receiving <br>payments prior to reemployment. (4) (a) Notwithstanding the provisions of this section, the payments suspended in accordance with subsection (1) of this section shall be paid retroactively to the <br>retired member, or his estate, if he does not receive more than the maximum <br>permissible earnings as provided by the Federal Social Security Act in <br>compensation from participating agencies during any calendar year of <br>reemployment. (b) If the retired member is paid suspended payments retroactively in accordance with this section, employee contributions deducted during his period of <br>reemployment, if any, shall be refunded to the retired employee, and no <br>service credit shall be earned for the period of reemployment. (c) If the retired member is not eligible to be paid suspended payments for his period of reemployment as an employee, his retirement allowance shall be <br>recomputed under the plan under which the member was receiving payments <br>prior to reemployment as follows: <br>1. The retired member's final compensation shall be recomputed using <br>creditable compensation for his period of reemployment; however, the <br>final compensation resulting from the recalculation shall not be less than <br>that of the member when his retirement allowance was last determined; 2. If the retired member initially retired on or subsequent to his normal <br>retirement date, his retirement allowance shall be recomputed by using <br>the formula in KRS 61.595(1); 3. If the retired member initially retired prior to his normal retirement date, <br>his retirement allowance shall be recomputed using the formula in KRS <br>61.595(2), except that the member's age used in computing benefits shall <br>be his age at the time of his initial retirement increased by the number of <br>months of service credit earned for service performed during <br>reemployment; 4. The retirement allowance payments resulting from the recomputation <br>under this subsection shall be payable in the month following the <br>termination of reemployment in lieu of payments under subparagraph 3. <br>The member shall not receive less in benefits as a result of the <br>recomputation than he was receiving prior to reemployment or would <br>receive as determined under KRS 61.691; and 5. Any retired member who was reemployed prior to March 26, 1974, shall <br>begin making contributions to the system in accordance with the <br>provisions of this section on the first day of the month following March <br>26, 1974. (5) A retired member, or his estate, shall pay to the retirement fund the total amount of payments which are not suspended in accordance with subsection (1) of this section <br>if the member received more than the maximum permissible earnings as provided <br>by the Federal Social Security Act in compensation from participating agencies <br>during any calendar year of reemployment, except the retired member or his estate <br>may repay the lesser of the total amount of payments which were not suspended or <br>fifty cents (&#36;0.50) of each dollar earned over the maximum permissible earnings <br>during reemployment if under age sixty-five (65), or one dollar (&#36;1) for every three <br>dollars (&#36;3) earned if over age sixty-five (65). (6) (a) &quot;Reemployment&quot; or &quot;reinstatement&quot; as used in this section shall not include a retired member who has been ordered reinstated by the Personnel Board under <br>authority of KRS 18A.095. (b) A retired member who has been ordered reinstated by the Personnel Board under authority of KRS 18A.095 or by court order or by order of the Human <br>Rights Commission and accepts employment by an agency participating in the <br>Kentucky Employees Retirement System or County Employees Retirement <br>System shall void his retirement by reimbursing the system in the full amount <br>of his retirement allowance payments received. (7) (a) Effective August 1, 1998, the provisions of subsections (1) to (4) of this section shall no longer apply to a retired member who is reemployed in a <br>position covered by the same retirement system from which the member <br>retired. Reemployed retired members shall be treated as new members upon <br>reemployment. Any retired member whose reemployment date preceded <br>August 1, 1998, who does not elect, within sixty (60) days of notification by <br>the retirement systems, to remain under the provisions of subsections (1) to <br>(4) of this section shall be deemed to have elected to participate under this <br>subsection. (b) A retired member whose disability retirement was discontinued pursuant to KRS 61.615 and who is reemployed in one (1) of the systems administered by <br>the Kentucky Retirement Systems prior to his or her normal retirement date <br>shall have his or her accounts combined upon termination for determining <br>eligibility for benefits. If the member is eligible for retirement, the member's <br>service and creditable compensation earned as a result of his or her <br>reemployment shall be used in the calculation of benefits, except that the <br>member's final compensation shall not be less than the final compensation last <br>used in determining his or her retirement allowance. The member shall not <br>change beneficiary or payment option designations. This provision shall apply <br>to members reemployed on or after August 1, 1998. (8) A retired member or his employer shall notify the retirement system if he has accepted employment with an agency that participates in the retirement system from <br>which the member retired. (9) If the retired member is under a contract, the member shall submit a copy of that contract to the retirement system, and the retirement system shall determine if the <br>member is an independent contractor for purposes of retirement benefits. (10) If a member is receiving a retirement allowance, or has filed the forms required for a retirement allowance, and is employed within one (1) month of the member's <br>initial retirement date in a position that is required to participate in the same <br>retirement system from which the member retired, the member's retirement shall be <br>voided and the member shall repay to the retirement system all benefits received. <br>The member shall contribute to the member account established for him prior to his <br>voided retirement. The retirement allowance for which the member shall be eligible <br>upon retirement shall be determined by total service and creditable compensation. (11) (a) If a member of the Kentucky Employees Retirement System retires from a department which participates in more than one (1) retirement system and is <br>reemployed within one (1) month of his initial retirement date by the same <br>department in a position participating in another retirement system, the retired <br>member's retirement allowance shall be suspended for the first month of his <br>retirement and the member shall repay to the retirement system all benefits <br>received for the month. (b) A retired member of the County Employees Retirement System who after initial retirement is hired by the county from which the member retired shall <br>be considered to have been hired by the same employer. (12) (a) If a hazardous member who retired prior to age fifty-five (55), or a nonhazardous member who retired prior to age sixty-five (65), is reemployed <br>within six (6) months of the member's termination by the same employer, the <br>member shall obtain from his previous and current employers a copy of the <br>job description established by the employers for the position and a statement <br>of the duties performed by the member for the position from which he retired <br>and for the position in which he has been reemployed. (b) The job descriptions and statements of duties shall be filed with the retirement office. (13) If the retirement system determines that the retired member has been employed in a position with the same principal duties as the position from which the member <br>retired: <br>(a) The member's retirement allowance shall be suspended during the period that begins on the month in which the member is reemployed and ends six (6) <br>months after the member's termination; (b) The retired member shall repay to the retirement system all benefits paid from systems administered by Kentucky Retirement Systems under reciprocity, <br>including medical insurance benefits, that the member received after <br>reemployment began; (c) Upon termination, or subsequent to expiration of the six (6) month period from the date of termination, the retired member's retirement allowance based <br>on his initial retirement account shall no longer be suspended and the member <br>shall receive the amount to which he is entitled, including an increase as <br>provided by KRS 61.691; (d) Except as provided in subsection (7) of this section, if the position in which a retired member is employed after initial retirement is a regular full-time <br>position, the retired member shall contribute to a second member account <br>established for him in the retirement system. Service credit gained after the <br>member's date of reemployment shall be credited to the second member <br>account; and (e) Upon termination, the retired member shall be entitled to benefits payable from his second retirement account. (14) (a) If the retirement system determines that the retired member has not been reemployed in a position with the same principal duties as the position from <br>which he retired, the retired member shall continue to receive his retirement <br>allowance. (b) If the position is a regular full-time position, the member shall contribute to a second member account in the retirement system. (15) (a) If a retired member is reemployed at least one (1) month after initial retirement in a different position, or at least six (6) months after initial <br>retirement in the same position, and prior to normal retirement age, the retired <br>member shall contribute to a second member account in the retirement system <br>and continue to receive a retirement allowance from the first member account. (b) Service credit gained after reemployment shall be credited to the second member account. Upon termination, the retired member shall be entitled to <br>benefits payable from the second member account. (16) A retired member who is reemployed and contributing to a second member account shall not be eligible to purchase service credit under any of the provisions of KRS <br>16.505 to 16.652, 61.510 to 61.705, or 78.510 to 78.852 which he was eligible to <br>purchase prior to his initial retirement. (17) Notwithstanding any provision of subsections (1) to (7) and (10) to (15) of this section, the following shall apply to retired members who are reemployed by an agency participating in one (1) of the systems administered by Kentucky Retirement <br>Systems on or after September 1, 2008: <br>(a) Except as provided by paragraphs (c) and (d) of this subsection, if a member is receiving a retirement allowance from one (1) of the systems administered by <br>Kentucky Retirement Systems, or has filed the forms required to receive a <br>retirement allowance from one (1) of the systems administered by Kentucky <br>Retirement Systems, and is employed in a regular full-time position required <br>to participate in one (1) of the systems administered by Kentucky Retirement <br>Systems or is employed in a position that is not considered regular full-time <br>with an agency participating in one (1) of the systems administered by <br>Kentucky Retirement Systems within three (3) months following the member's <br>initial retirement date, the member's retirement shall be voided, and the <br>member shall repay to the retirement system all benefits received, including <br>any health insurance benefits. If the member is returning to work in a regular <br>full-time position required to participate in one (1) of the systems <br>administered by Kentucky Retirement Systems: <br>1. The member shall contribute to a member account established for him or <br>her in one (1) of the systems administered by Kentucky Retirement <br>Systems, and employer contributions shall be paid on behalf of the <br>member by the participating employer; and 2. Upon subsequent retirement, the member shall be eligible for a <br>retirement allowance based upon total service and creditable <br>compensation, including any additional service or creditable <br>compensation earned after his or her initial retirement was voided; (b) Except as provided by paragraphs (c) and (d) of this subsection, if a member is receiving a retirement allowance from one (1) of the systems administered by <br>Kentucky Retirement Systems and is employed in a regular full-time position <br>required to participate in one (1) of the systems administered by Kentucky <br>Retirement Systems after a three (3) month period following the member's <br>initial retirement date, the member may continue to receive his or her <br>retirement allowance during the period of reemployment subject to the <br>following provisions: <br>1. Both the employee and participating agency shall certify in writing on a <br>form prescribed by the board that no prearranged agreement existed <br>between the employee and agency prior to the employee's retirement for <br>the employee to return to work with the participating agency. If the <br>participating agency or employer fail to complete the certification, the <br>member's retirement shall be voided and the provisions of paragraph (a) <br>of this subsection shall apply to the member and the employer; 2. Notwithstanding any other provision of KRS Chapter 16, 61, or 78 to <br>the contrary, the member shall not contribute to the systems and shall <br>not earn any additional benefits for any work performed during the <br>period of reemployment; 3. The employer shall pay employer contributions as specified by KRS <br>61.565 and 61.702 on all creditable compensation earned by the <br>employee during the period of reemployment. The additional <br>contributions paid shall be used to reduce the unfunded actuarial liability <br>of the systems; and 4. The employer shall be required to reimburse the systems for the cost of <br>the health insurance premium paid by the systems to provide coverage <br>for the retiree, not to exceed the cost of the single premium; (c) If a member is receiving a retirement allowance from the State Police Retirement System or from hazardous duty retirement coverage with the <br>Kentucky Employees Retirement System or the County Employees Retirement <br>System, or has filed the forms required to receive a retirement allowance from <br>the State Police Retirement System or from hazardous duty retirement <br>coverage with the Kentucky Employees Retirement System or the County <br>Employees Retirement System, and is employed in a regular full-time position <br>required to participate in the State Police Retirement System or in a hazardous <br>duty position with the Kentucky Employees Retirement System or the County <br>Employees Retirement System within one (1) month following the member's <br>initial retirement date, the member's retirement shall be voided, and the <br>member shall repay to the retirement system all benefits received, including <br>any health insurance benefits. If the member is returning to work in a regular <br>full-time position required to participate in one (1) of the systems <br>administered by Kentucky Retirement Systems: <br>1. The member shall contribute to a member account established for him or <br>her in one (1) of the systems administered by Kentucky Retirement <br>Systems, and employer contributions shall be paid on behalf of the <br>member by the participating employer; and 2. Upon subsequent retirement, the member shall be eligible for a <br>retirement allowance based upon total service and creditable <br>compensation, including any additional service or creditable <br>compensation earned after his or her initial retirement was voided; and (d) If a member is receiving a retirement allowance from the State Police Retirement System or from hazardous duty retirement coverage with the <br>Kentucky Employees Retirement System or the County Employees Retirement <br>System and is employed in a regular full-time position required to participate <br>in the State Police Retirement System or in a hazardous duty position with the <br>Kentucky Employees Retirement System or the County Employees Retirement <br>System after a one (1) month period following the member's initial retirement <br>date, the member may continue to receive his or her retirement allowance <br>during the period of reemployment subject to the following provisions: <br>1. Both the employee and participating agency shall certify in writing on a <br>form prescribed by the board that no prearranged agreement existed <br>between the employee and agency prior to the employee's retirement for <br>the employee to return to work with the participating agency. If the participating agency or employer fail to complete the certification, the <br>member's retirement shall be voided and the provisions of paragraph (c) <br>of this subsection shall apply to the member and the employer; 2. Notwithstanding any other provision of KRS Chapter 16, 61, or 78 to <br>the contrary, the member shall not contribute to the systems and shall <br>not earn any additional benefits for any work performed during the <br>period of reemployment; 3. The employer shall pay employer contributions as specified by KRS <br>61.565 and 61.702 on all creditable compensation earned by the <br>employee during the period of reemployment. The additional <br>contributions paid shall be used to reduce the unfunded actuarial liability <br>of the systems; and 4. The employer shall be required to reimburse the systems for the cost of <br>the health insurance premium paid by the systems to provide coverage <br>for the retiree, not to exceed the cost of the single premium. Effective: June 27, 2008 <br>History: Amended 2008 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 20, effective June 27, 2008. -- Amended 2002 Ky. Acts ch. 52, sec. 10, effective July 15, 2002. -- Amended <br>2001 Ky. Acts ch. 41, sec. 1, effective June 21, 2001. -- Amended 2000 Ky. Acts <br>ch. 210, sec 5, effective July 14, 2000; and ch. 385, sec. 22, effective July 14, 2000. -<br>- Amended 1998 Ky. Acts ch. 75, sec. 1, effective July 15, 1998; and ch. 105, <br>sec. 28, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 167, sec. 15, effective <br>July 15, 1996. -- Amended 1994 Ky. 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PDF...\u003c/div\u003e\u003cscript type=\"text/javascript\"\u003e var pdf_url = 'https://law.justia.com/codes/kentucky/2009/061-00/pdf/637.pdf'; $(document).ready(function() { var embedwindow = $(\"#embed_document\"); if ($.browser.msie){ embedwindow.html('\u003cembed src=\"'+pdf_url+'\" width=\"100%\" height=\"100%\"\u003e\u003c/embed\u003e'); } else { embedwindow.html('\u003ciframe style=\"width:100%; height:100%;\" src=\"https://docs.google.com/gview?url='+window.escape(pdf_url)+'\u0026embedded=true\" frameborder=\"0\"\u003e\u003c/iframe\u003e'); } });\u003c/script\u003e\u003cbr\u003e\u003cbr\u003e\u003cnoframes\u003e61.637 Suspension of retirement payments on reemployment -- Reinstatement -- Recomputation of allowance -- Waiver of provisions in certain instances -- \u003cbr\u003eReemployment in a different position -- Effect of reemployment of retired \u003cbr\u003emember participating on or after September 1, 2008. (1) A retired member who is receiving monthly retirement payments under any of the provisions of KRS 61.510 to 61.705 and 78.510 to 78.852 and who is reemployed \u003cbr\u003eas an employee by a participating agency prior to August 1, 1998, shall have his \u003cbr\u003eretirement payments suspended for the duration of reemployment. Monthly \u003cbr\u003epayments shall not be suspended for a retired member who is reemployed if he \u003cbr\u003eanticipates that he will receive less than the maximum permissible earnings as \u003cbr\u003eprovided by the Federal Social Security Act in compensation as a result of \u003cbr\u003ereemployment during the calendar year. The payments shall be suspended at the \u003cbr\u003ebeginning of the month in which the reemployment occurs. (2) Employer and employee contributions shall be made as provided in KRS 61.510 to 61.705 and 78.510 to 78.852 on the compensation paid during reemployment, \u003cbr\u003eexcept where monthly payments were not suspended as provided in subsection (1) \u003cbr\u003eof this section or would not increase the retired member's last monthly retirement \u003cbr\u003eallowance by at least one dollar (\u0026#36;1), and the member shall be credited with \u003cbr\u003eadditional service credit. (3) In the month following the termination of reemployment, retirement allowance payments shall be reinstated under the plan under which the member was receiving \u003cbr\u003epayments prior to reemployment. (4) (a) Notwithstanding the provisions of this section, the payments suspended in accordance with subsection (1) of this section shall be paid retroactively to the \u003cbr\u003eretired member, or his estate, if he does not receive more than the maximum \u003cbr\u003epermissible earnings as provided by the Federal Social Security Act in \u003cbr\u003ecompensation from participating agencies during any calendar year of \u003cbr\u003ereemployment. (b) If the retired member is paid suspended payments retroactively in accordance with this section, employee contributions deducted during his period of \u003cbr\u003ereemployment, if any, shall be refunded to the retired employee, and no \u003cbr\u003eservice credit shall be earned for the period of reemployment. (c) If the retired member is not eligible to be paid suspended payments for his period of reemployment as an employee, his retirement allowance shall be \u003cbr\u003erecomputed under the plan under which the member was receiving payments \u003cbr\u003eprior to reemployment as follows: \u003cbr\u003e1. The retired member's final compensation shall be recomputed using \u003cbr\u003ecreditable compensation for his period of reemployment; however, the \u003cbr\u003efinal compensation resulting from the recalculation shall not be less than \u003cbr\u003ethat of the member when his retirement allowance was last determined; 2. If the retired member initially retired on or subsequent to his normal \u003cbr\u003eretirement date, his retirement allowance shall be recomputed by using \u003cbr\u003ethe formula in KRS 61.595(1); 3. If the retired member initially retired prior to his normal retirement date, \u003cbr\u003ehis retirement allowance shall be recomputed using the formula in KRS \u003cbr\u003e61.595(2), except that the member's age used in computing benefits shall \u003cbr\u003ebe his age at the time of his initial retirement increased by the number of \u003cbr\u003emonths of service credit earned for service performed during \u003cbr\u003ereemployment; 4. The retirement allowance payments resulting from the recomputation \u003cbr\u003eunder this subsection shall be payable in the month following the \u003cbr\u003etermination of reemployment in lieu of payments under subparagraph 3. \u003cbr\u003eThe member shall not receive less in benefits as a result of the \u003cbr\u003erecomputation than he was receiving prior to reemployment or would \u003cbr\u003ereceive as determined under KRS 61.691; and 5. Any retired member who was reemployed prior to March 26, 1974, shall \u003cbr\u003ebegin making contributions to the system in accordance with the \u003cbr\u003eprovisions of this section on the first day of the month following March \u003cbr\u003e26, 1974. (5) A retired member, or his estate, shall pay to the retirement fund the total amount of payments which are not suspended in accordance with subsection (1) of this section \u003cbr\u003eif the member received more than the maximum permissible earnings as provided \u003cbr\u003eby the Federal Social Security Act in compensation from participating agencies \u003cbr\u003eduring any calendar year of reemployment, except the retired member or his estate \u003cbr\u003emay repay the lesser of the total amount of payments which were not suspended or \u003cbr\u003efifty cents (\u0026#36;0.50) of each dollar earned over the maximum permissible earnings \u003cbr\u003eduring reemployment if under age sixty-five (65), or one dollar (\u0026#36;1) for every three \u003cbr\u003edollars (\u0026#36;3) earned if over age sixty-five (65). (6) (a) \u0026quot;Reemployment\u0026quot; or \u0026quot;reinstatement\u0026quot; as used in this section shall not include a retired member who has been ordered reinstated by the Personnel Board under \u003cbr\u003eauthority of KRS 18A.095. (b) A retired member who has been ordered reinstated by the Personnel Board under authority of KRS 18A.095 or by court order or by order of the Human \u003cbr\u003eRights Commission and accepts employment by an agency participating in the \u003cbr\u003eKentucky Employees Retirement System or County Employees Retirement \u003cbr\u003eSystem shall void his retirement by reimbursing the system in the full amount \u003cbr\u003eof his retirement allowance payments received. (7) (a) Effective August 1, 1998, the provisions of subsections (1) to (4) of this section shall no longer apply to a retired member who is reemployed in a \u003cbr\u003eposition covered by the same retirement system from which the member \u003cbr\u003eretired. Reemployed retired members shall be treated as new members upon \u003cbr\u003ereemployment. Any retired member whose reemployment date preceded \u003cbr\u003eAugust 1, 1998, who does not elect, within sixty (60) days of notification by \u003cbr\u003ethe retirement systems, to remain under the provisions of subsections (1) to \u003cbr\u003e(4) of this section shall be deemed to have elected to participate under this \u003cbr\u003esubsection. (b) A retired member whose disability retirement was discontinued pursuant to KRS 61.615 and who is reemployed in one (1) of the systems administered by \u003cbr\u003ethe Kentucky Retirement Systems prior to his or her normal retirement date \u003cbr\u003eshall have his or her accounts combined upon termination for determining \u003cbr\u003eeligibility for benefits. If the member is eligible for retirement, the member's \u003cbr\u003eservice and creditable compensation earned as a result of his or her \u003cbr\u003ereemployment shall be used in the calculation of benefits, except that the \u003cbr\u003emember's final compensation shall not be less than the final compensation last \u003cbr\u003eused in determining his or her retirement allowance. The member shall not \u003cbr\u003echange beneficiary or payment option designations. This provision shall apply \u003cbr\u003eto members reemployed on or after August 1, 1998. (8) A retired member or his employer shall notify the retirement system if he has accepted employment with an agency that participates in the retirement system from \u003cbr\u003ewhich the member retired. (9) If the retired member is under a contract, the member shall submit a copy of that contract to the retirement system, and the retirement system shall determine if the \u003cbr\u003emember is an independent contractor for purposes of retirement benefits. (10) If a member is receiving a retirement allowance, or has filed the forms required for a retirement allowance, and is employed within one (1) month of the member's \u003cbr\u003einitial retirement date in a position that is required to participate in the same \u003cbr\u003eretirement system from which the member retired, the member's retirement shall be \u003cbr\u003evoided and the member shall repay to the retirement system all benefits received. \u003cbr\u003eThe member shall contribute to the member account established for him prior to his \u003cbr\u003evoided retirement. The retirement allowance for which the member shall be eligible \u003cbr\u003eupon retirement shall be determined by total service and creditable compensation. (11) (a) If a member of the Kentucky Employees Retirement System retires from a department which participates in more than one (1) retirement system and is \u003cbr\u003ereemployed within one (1) month of his initial retirement date by the same \u003cbr\u003edepartment in a position participating in another retirement system, the retired \u003cbr\u003emember's retirement allowance shall be suspended for the first month of his \u003cbr\u003eretirement and the member shall repay to the retirement system all benefits \u003cbr\u003ereceived for the month. (b) A retired member of the County Employees Retirement System who after initial retirement is hired by the county from which the member retired shall \u003cbr\u003ebe considered to have been hired by the same employer. (12) (a) If a hazardous member who retired prior to age fifty-five (55), or a nonhazardous member who retired prior to age sixty-five (65), is reemployed \u003cbr\u003ewithin six (6) months of the member's termination by the same employer, the \u003cbr\u003emember shall obtain from his previous and current employers a copy of the \u003cbr\u003ejob description established by the employers for the position and a statement \u003cbr\u003eof the duties performed by the member for the position from which he retired \u003cbr\u003eand for the position in which he has been reemployed. (b) The job descriptions and statements of duties shall be filed with the retirement office. (13) If the retirement system determines that the retired member has been employed in a position with the same principal duties as the position from which the member \u003cbr\u003eretired: \u003cbr\u003e(a) The member's retirement allowance shall be suspended during the period that begins on the month in which the member is reemployed and ends six (6) \u003cbr\u003emonths after the member's termination; (b) The retired member shall repay to the retirement system all benefits paid from systems administered by Kentucky Retirement Systems under reciprocity, \u003cbr\u003eincluding medical insurance benefits, that the member received after \u003cbr\u003ereemployment began; (c) Upon termination, or subsequent to expiration of the six (6) month period from the date of termination, the retired member's retirement allowance based \u003cbr\u003eon his initial retirement account shall no longer be suspended and the member \u003cbr\u003eshall receive the amount to which he is entitled, including an increase as \u003cbr\u003eprovided by KRS 61.691; (d) Except as provided in subsection (7) of this section, if the position in which a retired member is employed after initial retirement is a regular full-time \u003cbr\u003eposition, the retired member shall contribute to a second member account \u003cbr\u003eestablished for him in the retirement system. Service credit gained after the \u003cbr\u003emember's date of reemployment shall be credited to the second member \u003cbr\u003eaccount; and (e) Upon termination, the retired member shall be entitled to benefits payable from his second retirement account. (14) (a) If the retirement system determines that the retired member has not been reemployed in a position with the same principal duties as the position from \u003cbr\u003ewhich he retired, the retired member shall continue to receive his retirement \u003cbr\u003eallowance. (b) If the position is a regular full-time position, the member shall contribute to a second member account in the retirement system. (15) (a) If a retired member is reemployed at least one (1) month after initial retirement in a different position, or at least six (6) months after initial \u003cbr\u003eretirement in the same position, and prior to normal retirement age, the retired \u003cbr\u003emember shall contribute to a second member account in the retirement system \u003cbr\u003eand continue to receive a retirement allowance from the first member account. (b) Service credit gained after reemployment shall be credited to the second member account. Upon termination, the retired member shall be entitled to \u003cbr\u003ebenefits payable from the second member account. (16) A retired member who is reemployed and contributing to a second member account shall not be eligible to purchase service credit under any of the provisions of KRS \u003cbr\u003e16.505 to 16.652, 61.510 to 61.705, or 78.510 to 78.852 which he was eligible to \u003cbr\u003epurchase prior to his initial retirement. (17) Notwithstanding any provision of subsections (1) to (7) and (10) to (15) of this section, the following shall apply to retired members who are reemployed by an agency participating in one (1) of the systems administered by Kentucky Retirement \u003cbr\u003eSystems on or after September 1, 2008: \u003cbr\u003e(a) Except as provided by paragraphs (c) and (d) of this subsection, if a member is receiving a retirement allowance from one (1) of the systems administered by \u003cbr\u003eKentucky Retirement Systems, or has filed the forms required to receive a \u003cbr\u003eretirement allowance from one (1) of the systems administered by Kentucky \u003cbr\u003eRetirement Systems, and is employed in a regular full-time position required \u003cbr\u003eto participate in one (1) of the systems administered by Kentucky Retirement \u003cbr\u003eSystems or is employed in a position that is not considered regular full-time \u003cbr\u003ewith an agency participating in one (1) of the systems administered by \u003cbr\u003eKentucky Retirement Systems within three (3) months following the member's \u003cbr\u003einitial retirement date, the member's retirement shall be voided, and the \u003cbr\u003emember shall repay to the retirement system all benefits received, including \u003cbr\u003eany health insurance benefits. If the member is returning to work in a regular \u003cbr\u003efull-time position required to participate in one (1) of the systems \u003cbr\u003eadministered by Kentucky Retirement Systems: \u003cbr\u003e1. The member shall contribute to a member account established for him or \u003cbr\u003eher in one (1) of the systems administered by Kentucky Retirement \u003cbr\u003eSystems, and employer contributions shall be paid on behalf of the \u003cbr\u003emember by the participating employer; and 2. Upon subsequent retirement, the member shall be eligible for a \u003cbr\u003eretirement allowance based upon total service and creditable \u003cbr\u003ecompensation, including any additional service or creditable \u003cbr\u003ecompensation earned after his or her initial retirement was voided; (b) Except as provided by paragraphs (c) and (d) of this subsection, if a member is receiving a retirement allowance from one (1) of the systems administered by \u003cbr\u003eKentucky Retirement Systems and is employed in a regular full-time position \u003cbr\u003erequired to participate in one (1) of the systems administered by Kentucky \u003cbr\u003eRetirement Systems after a three (3) month period following the member's \u003cbr\u003einitial retirement date, the member may continue to receive his or her \u003cbr\u003eretirement allowance during the period of reemployment subject to the \u003cbr\u003efollowing provisions: \u003cbr\u003e1. Both the employee and participating agency shall certify in writing on a \u003cbr\u003eform prescribed by the board that no prearranged agreement existed \u003cbr\u003ebetween the employee and agency prior to the employee's retirement for \u003cbr\u003ethe employee to return to work with the participating agency. If the \u003cbr\u003eparticipating agency or employer fail to complete the certification, the \u003cbr\u003emember's retirement shall be voided and the provisions of paragraph (a) \u003cbr\u003eof this subsection shall apply to the member and the employer; 2. Notwithstanding any other provision of KRS Chapter 16, 61, or 78 to \u003cbr\u003ethe contrary, the member shall not contribute to the systems and shall \u003cbr\u003enot earn any additional benefits for any work performed during the \u003cbr\u003eperiod of reemployment; 3. The employer shall pay employer contributions as specified by KRS \u003cbr\u003e61.565 and 61.702 on all creditable compensation earned by the \u003cbr\u003eemployee during the period of reemployment. The additional \u003cbr\u003econtributions paid shall be used to reduce the unfunded actuarial liability \u003cbr\u003eof the systems; and 4. The employer shall be required to reimburse the systems for the cost of \u003cbr\u003ethe health insurance premium paid by the systems to provide coverage \u003cbr\u003efor the retiree, not to exceed the cost of the single premium; (c) If a member is receiving a retirement allowance from the State Police Retirement System or from hazardous duty retirement coverage with the \u003cbr\u003eKentucky Employees Retirement System or the County Employees Retirement \u003cbr\u003eSystem, or has filed the forms required to receive a retirement allowance from \u003cbr\u003ethe State Police Retirement System or from hazardous duty retirement \u003cbr\u003ecoverage with the Kentucky Employees Retirement System or the County \u003cbr\u003eEmployees Retirement System, and is employed in a regular full-time position \u003cbr\u003erequired to participate in the State Police Retirement System or in a hazardous \u003cbr\u003eduty position with the Kentucky Employees Retirement System or the County \u003cbr\u003eEmployees Retirement System within one (1) month following the member's \u003cbr\u003einitial retirement date, the member's retirement shall be voided, and the \u003cbr\u003emember shall repay to the retirement system all benefits received, including \u003cbr\u003eany health insurance benefits. If the member is returning to work in a regular \u003cbr\u003efull-time position required to participate in one (1) of the systems \u003cbr\u003eadministered by Kentucky Retirement Systems: \u003cbr\u003e1. The member shall contribute to a member account established for him or \u003cbr\u003eher in one (1) of the systems administered by Kentucky Retirement \u003cbr\u003eSystems, and employer contributions shall be paid on behalf of the \u003cbr\u003emember by the participating employer; and 2. Upon subsequent retirement, the member shall be eligible for a \u003cbr\u003eretirement allowance based upon total service and creditable \u003cbr\u003ecompensation, including any additional service or creditable \u003cbr\u003ecompensation earned after his or her initial retirement was voided; and (d) If a member is receiving a retirement allowance from the State Police Retirement System or from hazardous duty retirement coverage with the \u003cbr\u003eKentucky Employees Retirement System or the County Employees Retirement \u003cbr\u003eSystem and is employed in a regular full-time position required to participate \u003cbr\u003ein the State Police Retirement System or in a hazardous duty position with the \u003cbr\u003eKentucky Employees Retirement System or the County Employees Retirement \u003cbr\u003eSystem after a one (1) month period following the member's initial retirement \u003cbr\u003edate, the member may continue to receive his or her retirement allowance \u003cbr\u003eduring the period of reemployment subject to the following provisions: \u003cbr\u003e1. Both the employee and participating agency shall certify in writing on a \u003cbr\u003eform prescribed by the board that no prearranged agreement existed \u003cbr\u003ebetween the employee and agency prior to the employee's retirement for \u003cbr\u003ethe employee to return to work with the participating agency. If the participating agency or employer fail to complete the certification, the \u003cbr\u003emember's retirement shall be voided and the provisions of paragraph (c) \u003cbr\u003eof this subsection shall apply to the member and the employer; 2. Notwithstanding any other provision of KRS Chapter 16, 61, or 78 to \u003cbr\u003ethe contrary, the member shall not contribute to the systems and shall \u003cbr\u003enot earn any additional benefits for any work performed during the \u003cbr\u003eperiod of reemployment; 3. The employer shall pay employer contributions as specified by KRS \u003cbr\u003e61.565 and 61.702 on all creditable compensation earned by the \u003cbr\u003eemployee during the period of reemployment. The additional \u003cbr\u003econtributions paid shall be used to reduce the unfunded actuarial liability \u003cbr\u003eof the systems; and 4. The employer shall be required to reimburse the systems for the cost of \u003cbr\u003ethe health insurance premium paid by the systems to provide coverage \u003cbr\u003efor the retiree, not to exceed the cost of the single premium. Effective: June 27, 2008 \u003cbr\u003eHistory: Amended 2008 (1st Extra. Sess.) Ky. Acts ch. 1, sec. 20, effective June 27, 2008. -- Amended 2002 Ky. Acts ch. 52, sec. 10, effective July 15, 2002. -- Amended \u003cbr\u003e2001 Ky. Acts ch. 41, sec. 1, effective June 21, 2001. -- Amended 2000 Ky. Acts \u003cbr\u003ech. 210, sec 5, effective July 14, 2000; and ch. 385, sec. 22, effective July 14, 2000. -\u003cbr\u003e- Amended 1998 Ky. Acts ch. 75, sec. 1, effective July 15, 1998; and ch. 105, \u003cbr\u003esec. 28, effective July 15, 1998. -- Amended 1996 Ky. Acts ch. 167, sec. 15, effective \u003cbr\u003eJuly 15, 1996. -- Amended 1994 Ky. 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