SB 856 - This act modifies provisions relating to the Public School Retirement System of Kansas City.
The retirement system's funded ratio as of January 1st of the year preceding the year of a proposed increase shall be at least 100% before adjusting for the effect of the proposed increase.
The member contribution rate for 2019 and subsequent periods shall be 9% of compensation unless a lower member contribution rate applies as set forth in the act.
Currently, the actuary for the retirement system determines the rate of contribution payable by employers each year. For calendar year 2019, the employer contribution rate shall be 10.5%. From January 1, 2020, through June 30, 2021, the rate shall be 12%. For the 12-month period beginning July 1, 2021, and for each subsequent 12-month period beginning July 1 of each year, the employer contribution rate shall be determined as set forth in the act.
The Board of Trustees shall certify to the employers the contribution rate to be effective for July 1, 2021, and for each following July 1st no later than 6 months prior to the date such rate is to be effective.
Starting January 1, 2019, each employer shall transfer its employer contributions to the retirement system promptly following the end of each payroll period at the time the employer transfers member contributions.
This act is substantially similar to provisions contained in the truly agreed CCS/SCS/SB 892 (2018), SS/SCS/HB 1329 (2018), SCS/HB 2044 (2018), SCS/SB 1021 (2018), and HB 2184 (2018)