Assets of system to be held as one fund--contribution, rate, howcollected.
169.490. All the assets of the retirement system shall be held as onefund.
1. (1) The employing board shall cause to be deducted from thecompensation of each member at every payroll period five percent of hiscompensation, and the amounts so deducted shall be transferred to the boardof trustees and credited to the individual account of each member fromwhose compensation the deduction was made. In determining the amountearnable by a member in any payroll period, the board of trustees mayconsider the rate of earnable compensation payable to such member on thefirst day of the payroll period as continuing throughout such payrollperiod; it may omit deduction from compensation for any period less than afull payroll period if the employee was not a member on the first day ofthe payroll period; and to facilitate the making of the deductions, it maymodify the deduction required of any member by such amount as shall notexceed one-tenth of one percent of the compensation upon the basis of whichsuch deduction was made.
(2) The deductions provided for herein are declared to be a part ofthe salary of the member and the making of such deductions shall constitutepayments by the member out of his salary or earnings and such deductionsshall be made notwithstanding that the minimum compensation provided by lawfor any member shall be reduced thereby. Every member shall be deemed toconsent to the deductions made and provided for herein, and shall receiptfor his full salary or compensation, and the making of said deductions andthe payment of salary or compensation less said deduction shall be a fulland complete discharge and acquittance of all claims and demands whatsoeverfor services rendered during the period covered by the payment except as tobenefits provided by sections 169.410 to 169.540.
(3) The employing board may elect to pay member contributionsrequired by this section as an employer pick up of employee contributionsunder Section 414(h)(2) of the Internal Revenue Code of 1986, as amended,and such contributions picked up by the employing board shall be treated ascontributions made by members for all purposes of sections 169.410 to169.540.
2. If a retired member receiving a pension pursuant to sections169.410 to 169.540 is restored to active service and again becomes anactive member of the retirement system, there shall be credited to hisindividual account an amount equal to the excess, if any, of hisaccumulated contributions at retirement over the total pension benefitspaid to him.
3. Annually, the actuary for the retirement system shall calculateeach employer's contribution as an amount equal to a certain percentage ofthe total compensation of all members employed by that employer. Thepercentage shall be fixed on the basis of the liabilities of the retirementsystem as shown by the annual actuarial valuation. The annual actuarialvaluation shall be made on the basis of such actuarial assumptions and theactuarial cost method adopted by the board of trustees, provided that theactuarial cost method adopted shall be in accordance with generallyaccepted actuarial standards and that the unfunded actuarial accruedliability, if any, shall be amortized by level annual payments over aperiod not to exceed thirty years.
4. The expense and contingency reserve shall be a reserve forinvestment contingencies and estimated expenses of administration of theretirement system as determined annually by the board of trustees.
5. Gifts, devises, bequests and legacies may be accepted by the boardof trustees to be held and invested as a part of the assets of theretirement system and shall not be separately accounted for except wherespecific direction for the use of a gift is made by a donor.
(L. 1943 p. 805 § 9, A.L. 1951 p. 513, A.L. 1953 pp. 438, 496, A.L. 1957 p. 462, A.L. 1961 p. 384, A.L. 1967 p. 263, A.L. 1978 S.B. 542, A.L. 1981 H.B. 33, et al., A.L. 1987 H.B. 558, et al., A.L. 1989 S.B. 146, A.L. 2001 H.B. 660)
Assets of system to be held as one fund--contribution, rate, howcollected.
169.490. All the assets of the retirement system shall be held as onefund.
1. (1) The employing board shall cause to be deducted from thecompensation of each member at every payroll period five percent of hiscompensation, and the amounts so deducted shall be transferred to the boardof trustees and credited to the individual account of each member fromwhose compensation the deduction was made. In determining the amountearnable by a member in any payroll period, the board of trustees mayconsider the rate of earnable compensation payable to such member on thefirst day of the payroll period as continuing throughout such payrollperiod; it may omit deduction from compensation for any period less than afull payroll period if the employee was not a member on the first day ofthe payroll period; and to facilitate the making of the deductions, it maymodify the deduction required of any member by such amount as shall notexceed one-tenth of one percent of the compensation upon the basis of whichsuch deduction was made.
(2) The deductions provided for herein are declared to be a part ofthe salary of the member and the making of such deductions shall constitutepayments by the member out of his salary or earnings and such deductionsshall be made notwithstanding that the minimum compensation provided by lawfor any member shall be reduced thereby. Every member shall be deemed toconsent to the deductions made and provided for herein, and shall receiptfor his full salary or compensation, and the making of said deductions andthe payment of salary or compensation less said deduction shall be a fulland complete discharge and acquittance of all claims and demands whatsoeverfor services rendered during the period covered by the payment except as tobenefits provided by sections 169.410 to 169.540.
(3) The employing board may elect to pay member contributionsrequired by this section as an employer pick up of employee contributionsunder Section 414(h)(2) of the Internal Revenue Code of 1986, as amended,and such contributions picked up by the employing board shall be treated ascontributions made by members for all purposes of sections 169.410 to169.540.
2. If a retired member receiving a pension pursuant to sections169.410 to 169.540 is restored to active service and again becomes anactive member of the retirement system, there shall be credited to hisindividual account an amount equal to the excess, if any, of hisaccumulated contributions at retirement over the total pension benefitspaid to him.
3. Annually, the actuary for the retirement system shall calculateeach employer's contribution as an amount equal to a certain percentage ofthe total compensation of all members employed by that employer. Thepercentage shall be fixed on the basis of the liabilities of the retirementsystem as shown by the annual actuarial valuation. The annual actuarialvaluation shall be made on the basis of such actuarial assumptions and theactuarial cost method adopted by the board of trustees, provided that theactuarial cost method adopted shall be in accordance with generallyaccepted actuarial standards and that the unfunded actuarial accruedliability, if any, shall be amortized by level annual payments over aperiod not to exceed thirty years.
4. The expense and contingency reserve shall be a reserve forinvestment contingencies and estimated expenses of administration of theretirement system as determined annually by the board of trustees.
5. Gifts, devises, bequests and legacies may be accepted by the boardof trustees to be held and invested as a part of the assets of theretirement system and shall not be separately accounted for except wherespecific direction for the use of a gift is made by a donor.
(L. 1943 p. 805 § 9, A.L. 1951 p. 513, A.L. 1953 pp. 438, 496, A.L. 1957 p. 462, A.L. 1961 p. 384, A.L. 1967 p. 263, A.L. 1978 S.B. 542, A.L. 1981 H.B. 33, et al., A.L. 1987 H.B. 558, et al., A.L. 1989 S.B. 146, A.L. 2001 H.B. 660)
Assets of system to be held as one fund--contribution, rate, howcollected.
169.490. All the assets of the retirement system shall be held as onefund.
1. (1) The employing board shall cause to be deducted from thecompensation of each member at every payroll period five percent of hiscompensation, and the amounts so deducted shall be transferred to the boardof trustees and credited to the individual account of each member fromwhose compensation the deduction was made. In determining the amountearnable by a member in any payroll period, the board of trustees mayconsider the rate of earnable compensation payable to such member on thefirst day of the payroll period as continuing throughout such payrollperiod; it may omit deduction from compensation for any period less than afull payroll period if the employee was not a member on the first day ofthe payroll period; and to facilitate the making of the deductions, it maymodify the deduction required of any member by such amount as shall notexceed one-tenth of one percent of the compensation upon the basis of whichsuch deduction was made.
(2) The deductions provided for herein are declared to be a part ofthe salary of the member and the making of such deductions shall constitutepayments by the member out of his salary or earnings and such deductionsshall be made notwithstanding that the minimum compensation provided by lawfor any member shall be reduced thereby. Every member shall be deemed toconsent to the deductions made and provided for herein, and shall receiptfor his full salary or compensation, and the making of said deductions andthe payment of salary or compensation less said deduction shall be a fulland complete discharge and acquittance of all claims and demands whatsoeverfor services rendered during the period covered by the payment except as tobenefits provided by sections 169.410 to 169.540.
(3) The employing board may elect to pay member contributionsrequired by this section as an employer pick up of employee contributionsunder Section 414(h)(2) of the Internal Revenue Code of 1986, as amended,and such contributions picked up by the employing board shall be treated ascontributions made by members for all purposes of sections 169.410 to169.540.
2. If a retired member receiving a pension pursuant to sections169.410 to 169.540 is restored to active service and again becomes anactive member of the retirement system, there shall be credited to hisindividual account an amount equal to the excess, if any, of hisaccumulated contributions at retirement over the total pension benefitspaid to him.
3. Annually, the actuary for the retirement system shall calculateeach employer's contribution as an amount equal to a certain percentage ofthe total compensation of all members employed by that employer. Thepercentage shall be fixed on the basis of the liabilities of the retirementsystem as shown by the annual actuarial valuation. The annual actuarialvaluation shall be made on the basis of such actuarial assumptions and theactuarial cost method adopted by the board of trustees, provided that theactuarial cost method adopted shall be in accordance with generallyaccepted actuarial standards and that the unfunded actuarial accruedliability, if any, shall be amortized by level annual payments over aperiod not to exceed thirty years.
4. The expense and contingency reserve shall be a reserve forinvestment contingencies and estimated expenses of administration of theretirement system as determined annually by the board of trustees.
5. Gifts, devises, bequests and legacies may be accepted by the boardof trustees to be held and invested as a part of the assets of theretirement system and shall not be separately accounted for except wherespecific direction for the use of a gift is made by a donor.
(L. 1943 p. 805 § 9, A.L. 1951 p. 513, A.L. 1953 pp. 438, 496, A.L. 1957 p. 462, A.L. 1961 p. 384, A.L. 1967 p. 263, A.L. 1978 S.B. 542, A.L. 1981 H.B. 33, et al., A.L. 1987 H.B. 558, et al., A.L. 1989 S.B. 146, A.L. 2001 H.B. 660)
