Session of 1998
                   
HOUSE BILL No. 3025
         
By Committee on Appropriations
         
3-31
            9             AN ACT concerning retirement and pensions; relating to the Kansas pub-
10             lic employees retirement system; regents institutions; final average sal-
11             ary; amending K.S.A. 1997 Supp. 74-4902 and 74-4920 and repealing
12             the existing sections.
13            
14       Be it enacted by the Legislature of the State of Kansas:
15           Section 1. K.S.A. 1997 Supp. 74-4902 is hereby amended to read as
16       follows: 74-4902. As used in articles 49 and 49a of chapter 74 and amend-
17       ments thereto, unless otherwise provided or the context otherwise re-
18       quires:
19           (1) ``Accumulated contributions'' means the sum of all contributions
20       by a member to the system which are credited to the member's account,
21       with interest allowed thereon;
22           (2) ``acts'' means K.S.A. 74-4901 to 74-4929, inclusive, and amend-
23       ments thereto;
24           (3) ``actuarial equivalent'' means an annuity or benefit of equal value
25       to the accumulated contributions, annuity or benefit, when computed
26       upon the basis of the actuarial tables in use by the system;
27           (4) ``actuarial tables'' means the actuarial tables approved and in use
28       by the board at any given time;
29           (5) ``actuary'' means the actuary or firm of actuaries employed or
30       retained by the board at any given time;
31           (6) ``agent'' means the individual designated by each participating em-
32       ployer through whom system transactions and communication are di-
33       rected;
34           (7) ``beneficiary'' means any natural person or persons or estate
35       named by a member to receive any benefits as provided for by this act.
36       Designations of beneficiaries by a member who is a member of more
37       than one retirement system made on or after July 1, 1987, shall be the
38       basis of any benefits payable under all systems unless otherwise provided
39       by law. Except as otherwise provided by subsection (33) of this section,
40       if there is no named beneficiary living at time of member's death, any
41       benefits provided for by this act shall be paid to: (A) The member's sur-
42       viving spouse; (B) the member's dependent child or children; (C) the
43       member's dependent parent or parents; (D) the member's nondependent

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  1       child or children; (E) the member's nondependent parent or parents; (F)
  2       the estate of the deceased member; in the order of preference as specified
  3       in this subsection. Any payment made to a named beneficiary shall be a
  4       full discharge and release to the system from any further claims. Any
  5       payment made to a beneficiary as provided in clauses (A), (B), (C), (D),
  6       (E) or (F) of this subsection, as determined by the board, shall be a full
  7       discharge and release to the system from any further claims. Whenever
  8       any payment is payable to more than one beneficiary such payment shall
  9       be made to such beneficiaries jointly. Any benefits payable to a benefi-
10       ciary or beneficiaries who are minor children or incompetent persons
11       shall be made in the name of the beneficiary or beneficiaries and deliv-
12       ered to the lawfully appointed conservator of such beneficiaries who was
13       nominated by will or as otherwise provided by law, except that in those
14       cases where the benefit involves only the payment of the member's ac-
15       cumulated contributions with interest as provided by this act in an amount
16       not to exceed $500, the board is hereby authorized in its discretion with-
17       out the appointment of a conservator or the giving of a bond to pay such
18       amount as is due to the minor or minors themselves, any payment so
19       made shall be a full discharge and release to the system from any further
20       claims;
21           (8) ``board of trustees,'' ``board'' or ``trustees'' means the managing
22       body of the system which is known as the Kansas public employees re-
23       tirement system board of trustees;
24           (9) ``compensation'' means all salary, wages and other remuneration
25       payable to a member for personal services performed for a participating
26       employer, including maintenance or any allowance in lieu thereof pro-
27       vided a member as part of compensation, but not including reimburse-
28       ment for travel or moving expenses or on and after July 1, 1994, payment
29       pursuant to an early retirement incentive program made prior to the
30       retirement of the member. Beginning with the employer's fiscal year
31       which begins in calendar year 1991 or for employers other than the state
32       of Kansas, beginning with the fiscal year which begins in calendar year
33       1992, when the compensation of a member who remains in substantially
34       the same position during any two consecutive years of participating serv-
35       ice used in calculating final average salary is increased by an amount which
36       exceeds 15%, then the amount of such increase which exceeds 15% shall
37       not be included in compensation, except that (A) any amount of com-
38       pensation for accumulated sick leave or vacation or annual leave paid to
39       the member, (B) any increase in compensation for any member due to a
40       reclassification or reallocation of such member's position or a reassign-
41       ment of such member's job classification to a higher range or level and
42       (C) any increase in compensation as provided in any contract entered into
43       prior to January 1, 1991, and still in force on the effective date of this act,

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  1       pursuant to an early retirement incentive program as provided in K.S.A.
  2       72-5395 et seq. and amendments thereto, shall be included in the amount
  3       of compensation of such member used in determining such member's
  4       final average salary and shall not be subject to the 15% limitation provided
  5       in this subsection. Any contributions by such member on the amount of
  6       such increase which exceeds 15% which is not included in compensation
  7       shall be returned to the member. Unless otherwise provided by law, be-
  8       ginning with the employer's fiscal year coinciding with or following July
  9       1, 1985, compensation shall include any amounts for tax sheltered an-
10       nuities or deferred compensation plans. Beginning with the employer's
11       fiscal year which begins in calendar year 1991, compensation shall include
12       amounts under sections 403b, 457 and 125 of the federal internal revenue
13       code of 1986 and any other section of the federal internal revenue code
14       of 1986 which defers or excludes amounts from inclusion in income;
15           (10) ``credited service'' means the sum of participating service and
16       prior service and in no event shall credited service include any service
17       which is credited under another retirement plan authorized under any
18       law of this state;
19           (11) ``dependent'' means a parent or child of a member who is de-
20       pendent upon the member for at least 1/2 of such parent or child's support;
21           (12) ``effective date'' means the date upon which the system becomes
22       effective by operation of law;
23           (13) ``eligible employer'' means the state of Kansas, and any county,
24       city, township, special district or any instrumentality of any one or several
25       of the aforementioned or any noncommercial public television or radio
26       station located in this state which receives state funds allocated by the
27       Kansas public broadcasting commission whose employees are covered by
28       social security. If a class or several classes of employees of any above
29       defined employer are not covered by social security, such employer shall
30       be deemed an eligible employer only with respect to such class or those
31       classes of employees who are covered by social security;
32           (14) ``employee'' means any appointed or elective officer or employee
33       of a participating employer whose employment is not seasonal or tem-
34       porary and whose employment requires at least 1,000 hours of work per
35       year, but not including: (A) Any person covered by or eligible for or who
36       will become eligible for a retirement annuity under the provisions of
37       K.S.A. 74-4925 and amendments thereto except as otherwise specifically
38       provided in subsection (3) of K.S.A. 74-4925 and amendments thereto
39       and this subsection; (B) any employee who is a contributing member of
40       the United States civil service retirement system; (C) any employee of an
41       eligible employer who is a participant in public service employment under
42       title II and title VI of the federal comprehensive employment and training
43       act of 1973; (D) any employee or class of employees specifically exempted

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  1       by law. After June 30, 1975, no person who is otherwise eligible for mem-
  2       bership in the Kansas public employees retirement system shall be barred
  3       from such membership by reason of coverage by, eligibility for or future
  4       eligibility for a retirement annuity under the provisions of K.S.A. 74-4925
  5       and amendments thereto, except that no person shall receive service
  6       credit under the Kansas public employees retirement system for any pe-
  7       riod of service for which benefits accrue or are granted under a retirement
  8       annuity plan under the provisions of K.S.A. 74-4925 and amendments
  9       thereto. After June 30, 1982, no person who is otherwise eligible for
10       membership in the Kansas public employees retirement system shall be
11       barred from such membership by reason of coverage by, eligibility for or
12       future eligibility for any benefit under another retirement plan authorized
13       under any law of this state, except that no such person shall receive service
14       credit under the Kansas public employees retirement system for any pe-
15       riod of service for which any benefit accrues or is granted under any such
16       retirement plan. Employee shall include persons who are in training at
17       or employed by, or both, a sheltered workshop for the blind operated by
18       the secretary of social and rehabilitation services. The entry date for such
19       persons shall be the beginning of the first pay period of the fiscal year
20       commencing in calendar year 1986. Such persons shall be granted prior
21       service credit in accordance with K.S.A. 74-4913 and amendments
22       thereto. However, such persons classified as home industry employees
23       shall not be covered by the retirement system;
24           (15) ``entry date'' means the date as of which an eligible employer
25       joins the system. The first entry date pursuant to this act is January 1,
26       1962;
27           (16) ``executive secretary'' means the managing officer of the system
28       employed by the board under this act;
29           (17) ``final average salary'' means in the case of a member who retires
30       prior to January 1, 1977, and in the case of a member who retires after
31       January 1, 1977, and who has less than five years of participating service
32       after January 1, 1967, the average highest annual compensation paid to
33       such member for any five years of the last 10 years of participating service
34       immediately preceding retirement or termination of employment, or in
35       the case of a member who retires on or after January 1, 1977, and who
36       has five or more years of participating service after January 1, 1967, the
37       average highest annual compensation paid to such member on or after
38       January 1, 1967, for any five years of participating service preceding re-
39       tirement or termination of employment, or, in any case, if participating
40       service is less than five years, then the average annual compensation paid
41       to the member during the full period of participating service, or, in any
42       case, if the member has less than one calendar year of participating service
43       such member's final average salary shall be computed by multiplying such

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  1       member's highest monthly salary received in that year by 12; in the case
  2       of a member who became a member under subsection (3) of K.S.A. 74-
  3       4925 and amendments thereto, or who became a member with a partic-
  4       ipating employer as defined in subsection (3) of K.S.A. 74-4931 and
  5       amendments thereto and who elects to have compensation paid in other
  6       than 12 equal installments, such compensation shall be annualized as if
  7       the member had elected to receive 12 equal installments for any such
  8       periods preceding retirement; in the case of a member who retires after
  9       July 1, 1987, the average highest annual compensation paid to such mem-
10       ber for any four years of participating service preceding retirement or
11       termination of employment; in the case of a member who retires on or
12       after July 1, 1993, who was first hired as an employee, as defined in
13       subsection (14) of K.S.A. 74-4902 and amendments thereto, prior to July
14       1, 1993, the average highest annual compensation, as defined in subsec-
15       tion (9), paid to such member for any four years of participating service
16       preceding retirement or termination of employment or the average high-
17       est annual salary, as defined in subsection (34), paid to such member for
18       any three years of participating service preceding retirement or termi-
19       nation of employment, whichever is greater; and in the case of a member
20       who retires on or after July 1, 1993, and who is first hired as an employee,
21       as defined in subsection (14) of K.S.A. 74-4902 and amendments thereto,
22       on or after July 1, 1993, the average highest annual salary, as defined in
23       subsection (34), paid to such member for any three years of participating
24       service preceding retirement or termination of employment. Final aver-
25       age salary shall not include any purchase of participating service credit
26       by a member as provided in subsection (2) of K.S.A. 74-4919h and
27       amendments thereto which is completed within five years of retirement.
28       For any application to purchase or repurchase service credit for a certain
29       period of service as provided by law received by the system after May 17,
30       1994, for any member who will have contributions deducted from such
31       member's compensation at a percentage rate equal to two or three times
32       the employee's rate of contribution or will begin paying to the system a
33       lump-sum amount for such member's purchase or repurchase and such
34       deductions or lump-sum payment commences after the commencement
35       of the first payroll period in the third quarter, ``final average salary'' shall
36       not include any amount of compensation or salary which is based on such
37       member's purchase or repurchase. Any application to purchase or repur-
38       chase multiple periods of service shall be treated as multiple applications.
39       For purposes of this subsection, the date that such member is first hired
40       as an employee for members who are employees of employers that
41       elected to participate in the system on or after January 1, 1994, shall be
42       the date that such employee's employer elected to participate in the sys-
43       tem. In the case of any former member who was eligible for assistance

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  1       pursuant to K.S.A. 74-4925 and amendments thereto prior to July 1, 1998,
  2       for the purpose of calculating the final average salary of such member,
  3       such member's final average salary shall be based on such member's salary
  4       while a member of the system or while eligible for assistance pursuant to
  5       K.S.A. 74-4925 and amendments thereto, whichever is greater;
  6           (18) ``fiscal year'' means, for the Kansas public employees retirement
  7       system, the period commencing July 1 of any year and ending June 30 of
  8       the next;
  9           (19) ``Kansas public employees retirement fund'' means the fund cre-
10       ated by this act for payment of expenses and benefits under the system
11       and referred to as the fund;
12           (20) ``leave of absence'' means a period of absence from employment
13       without pay, authorized and approved by the employer, and which after
14       the effective date does not exceed one year;
15           (21) ``member'' means an eligible employee who is in the system and
16       is making the required employee contributions, or any former employee
17       who has made the required contributions to the system and has not re-
18       ceived a refund;
19           (22) ``military service'' means service in the armed forces of the
20       United States or in the United States public health service, which service
21       is immediately preceded by a period of employment as an employee or
22       by the entering into of an employment contract with a participating em-
23       ployer and is followed by return to employment as an employee with the
24       same or another participating employer within 12 months immediately
25       following discharge from such military service, except that if the board
26       determines that such return within 12 months was made impossible by
27       reason of a service-connected disability, the period within which the em-
28       ployee must return to employment with a participating employer shall be
29       extended not more than two years from the date of discharge or separa-
30       tion from military service;
31           (23) ``normal retirement date'' means the date on or after which a
32       member may retire with full retirement benefits pursuant to K.S.A. 74-
33       4914 and amendments thereto;
34           (24) ``participating employer'' means an eligible employer who has
35       agreed to make contributions to the system on behalf of its employees;
36           (25) ``participating service'' means the period of employment after
37       the entry date for which credit is granted a member;
38           (26) ``prior service'' means the period of employment of a member
39       prior to such member's entry date for which credit is granted a member
40       under this act;
41           (27) ``prior service annual salary'' means the highest annual salary,
42       not including any amounts received as payment for overtime or as re-
43       imbursement for travel or moving expense, received for personal services

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  1       by the member from the current employer in any one of the three cal-
  2       endar years immediately preceding January 1, 1962, or the entry date of
  3       the employer, whichever is later, except that if a member entered the
  4       employment of the state during the calendar year 1961, the prior service
  5       annual salary shall be computed by multiplying such member's highest
  6       monthly salary received in that year by 12;
  7           (28) ``retirant'' means a member who has retired under this system;
  8           (29) ``retirement benefit'' means a monthly income or the actuarial
  9       equivalent thereof paid in such manner as specified by the member pur-
10       suant to this act or as otherwise allowed to be paid at the discretion of
11       the board, with benefits accruing from the first day of the month coin-
12       ciding with or following retirement and ending on the last day of the
13       month in which death occurs. Upon proper identification a surviving
14       spouse may negotiate the warrant issued in the name of the retirant;
15           (30) ``retirement system'' or ``system'' means the Kansas public em-
16       ployees retirement system as established by this act and as it may be
17       amended;
18           (31) ``social security'' means the old age, survivors and disability in-
19       surance section of the federal social security act;
20           (32) ``total disability'' means a physical or mental disability which pre-
21       vents the member from engaging, for remuneration or profit, in any oc-
22       cupation for which the member is reasonably suited by education, training
23       or experience;
24           (33) ``trust'' means an express trust, created by a trust instrument,
25       including a will, designated by a member to receive payment of the in-
26       sured death benefit under K.S.A. 74-4927 and amendments thereto and
27       payment of the member's accumulated contributions under subsection
28       (1) of K.S.A. 74-4916 and amendments thereto. A designation of a trust
29       shall be filed with the board. If there is a designated trust at the time of
30       the member's death, the insured death benefit for the member under
31       K.S.A. 74-4927 and amendments thereto and the member's accumulated
32       contributions under subsection (1) of K.S.A. 74-4916 and amendments
33       thereto shall be paid to the trust in lieu of the member's beneficiary. If
34       no will is admitted to probate within six months after the death of the
35       member or no trustee qualifies within such six months or if the designated
36       trust fails, for any reason whatsoever, the insured death benefit under
37       K.S.A. 74-4927 and amendments thereto and the member's accumulated
38       contributions under subsection (1) of K.S.A. 74-4916 and amendments
39       thereto shall be paid in accordance with the provisions of subsection (7)
40       of this section as in other cases where there is no named beneficiary living
41       at the time of the member's death and any payments so made shall be a
42       full discharge and release to the system from any further claims; and
43           (34) ``salary'' means all salary and wages payable to a member for

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  1       personal services performed for a participating employer, including main-
  2       tenance or any allowance in lieu thereof provided a member as part of
  3       salary. Salary shall not include reimbursement for travel or moving ex-
  4       penses, payment for accumulated sick leave or vacation or annual leave,
  5       severance pay or any other payments to the member determined by the
  6       board to not be payments for personal services performed for a partici-
  7       pating employer constituting salary or on and after July 1, 1994, payment
  8       pursuant to an early retirement incentive program made prior to the
  9       retirement of the member. When the salary of a member who remains
10       in substantially the same position during any two consecutive years of
11       participating service used in calculating final average salary is increased
12       by an amount which exceeds 15%, then the amount of such increase
13       which exceeds 15% shall not be included in salary. Any contributions by
14       such member on the amount of such increase which exceeds 15% which
15       is not included in compensation shall be returned to the member. Unless
16       otherwise provided by law, salary shall include any amounts for tax shel-
17       tered annuities or deferred compensation plans. Salary shall include
18       amounts under sections 403b, 457 and 125 of the federal internal revenue
19       code of 1986 and any other section of the federal internal revenue code
20       of 1986 which defers or excludes amounts from inclusion in income. In
21       any case, if participating service is less than three years, then the average
22       annual salary paid to the member during the full period of participating
23       service, or, in any case, if the member has less than one calendar year of
24       participating service such member's final average salary shall be com-
25       puted by multiplying such member's highest monthly salary received in
26       that year by 12.
27           Sec. 2. K.S.A. 1997 Supp. 74-4920 is hereby amended to read as
28       follows: 74-4920. (1) Upon the basis of each annual actuarial valuation
29       and appraisal as provided for in subsection (3)(a) of K.S.A. 74-4908 and
30       amendments thereto, the board shall certify, on or before July 15 of each
31       year, to the division of the budget in the case of the state and to the agent
32       for each other participating employer an actuarially determined estimate
33       of the rate of contribution which will be required, together with all ac-
34       cumulated contributions and other assets of the system, to be paid by
35       each such participating employer to pay all liabilities which shall exist or
36       accrue under the system, including amortization of the actuarial accrued
37       liability over a period of 40 years commencing on July 1, 1993, and the
38       actuarial accrued liability for members of the faculty and other persons
39       who are employed by the state board of regents or by educational insti-
40       tutions under its management assisted by the state board of regents in
41       the purchase of retirement annuities as provided in K.S.A. 74-4925 and
42       amendments thereto, as provided in this section. The actuarial accrued
43       liability for all participating employers other than the state board of re-

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  1       gents relating to members of the faculty and other persons described in
  2       this section, shall be amortized by annual payments that increase 4% for
  3       each year remaining in the amortization period. For all participating em-
  4       ployers other than the state board of regents relating to members of the
  5       faculty and other persons described in this section, the projected unit
  6       credit actuarial cost method shall be used in annual actuarial valuations,
  7       commencing with the 1993 valuation, to determine the employer contri-
  8       bution rates that shall be certified by the board. The actuarial accrued
  9       liability for members of the faculty and other persons described in this
10       subsection assisted by the state board of regents in the purchase of re-
11       tirement annuities as provided in K.S.A. 74-4925 and amendments
12       thereto shall be amortized by annual level payments over a period of 10
13       11 years commencing July 1, 1993. Such certified rate of contribution
14       shall be based on the standards set forth in subsection (3)(a) of K.S.A.
15       74-4908 and amendments thereto and shall not be based on any other
16       purpose outside of the needs of the system.
17           (2) The division of the budget and the governor shall include in the
18       budget and in the budget request for appropriations for personal services
19       the sum required to satisfy the state's obligation under this act as certified
20       by the board and shall present the same to the legislature for allowance
21       and appropriation.
22           (3) Each other participating employer shall appropriate and pay to
23       the system a sum sufficient to satisfy the obligation under this act as
24       certified by the board.
25           (4) Each participating employer is hereby authorized to pay the em-
26       ployer's contribution from the same fund that the compensation for which
27       such contribution is made is paid from or from any other funds available
28       to it for such purpose. Each political subdivision, other than an instru-
29       mentality of the state, which is by law authorized to levy taxes for other
30       purposes, may levy annually at the time of its levy of taxes, a tax which
31       may be in addition to all other taxes authorized by law for the purpose of
32       making its contributions under this act and, in the case of cities and coun-
33       ties, to pay a portion of the principal and interest on bonds issued under
34       the authority of K.S.A. 12-1774 and amendments thereto by cities located
35       in the county, which tax, together with any other fund available, shall be
36       sufficient to enable it to make such contribution. In lieu of levying the
37       tax authorized in this subsection, any taxing subdivision may pay such
38       costs from any employee benefits contribution fund established pursuant
39       to K.S.A. 12-16,102 and amendments thereto. Each participating em-
40       ployer which is not by law authorized to levy taxes as described above,
41       but which prepares a budget for its expenses for the ensuing year and
42       presents the same to a governing body which is authorized by law to levy
43       taxes as described above, may include in its budget an amount sufficient

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  1       to make its contributions under this act which may be in addition to all
  2       other taxes authorized by law. Such governing body to which the budget
  3       is submitted for approval, may levy a tax sufficient to allow the partici-
  4       pating employer to make its contributions under this act, which tax, to-
  5       gether with any other fund available, shall be sufficient to enable the
  6       participating employer to make the contributions required by this act.
  7           (5) The rate of contribution certified to a participating employer as
  8       provided in this section shall apply during the fiscal year of the partici-
  9       pating employer which begins in the second calendar year following the
10       year of the actuarial valuation. For the fiscal year commencing in calendar
11       year 1993, the employer rate of contribution for the state of Kansas and
12       for participating employers under K.S.A. 74-4931 and amendments
13       thereto shall be 3.1% of the amount of compensation upon which mem-
14       bers contribute during the period. For the fiscal year commencing in
15       calendar year 1994, the employer rate of contribution for the state of
16       Kansas and for participating employers under K.S.A. 74-4931 and amend-
17       ments thereto shall be 3.2% of the amount of compensation upon which
18       members contribute during the period. For the fiscal year commencing
19       in calendar year 1994, the employer rate of contribution for participating
20       employers other than the state of Kansas shall be 2.2% of the amount of
21       compensation upon which members contribute during the period. Except
22       as specifically provided in this section, for the fiscal year commencing in
23       calendar year 1995, the rate of contribution certified to a participating
24       employer shall in no event exceed such participating employer's contri-
25       bution rate for the immediately preceding fiscal year by more than 0.1%
26       of the amount of compensation upon which members contribute during
27       the period. Except as specifically provided in this section, for fiscal years
28       commencing in calendar year 1996 and in each subsequent calendar year,
29       the rate of contribution certified to the state of Kansas shall in no event
30       exceed the state's contribution rate for the immediately preceding fiscal
31       year by more than 0.2% of the amount of compensation upon which
32       members contribute during the period. Except as specifically provided in
33       this section, for fiscal years commencing in calendar year 1997 and in
34       each subsequent calendar year, the rate of contribution certified to par-
35       ticipating employers other than the state of Kansas shall in no event ex-
36       ceed such participating employer's contribution rate for the immediately
37       preceding fiscal year by more than 0.15% of the amount of compensation
38       upon which members contribute during the period. There shall be an
39       employer rate of contribution certified to the state of Kansas and partic-
40       ipating employers under K.S.A. 74-4931 and amendments thereto. There
41       shall be a separate employer rate of contribution certified to all other
42       participating employers other than the state of Kansas.
43           (6) The actuarial cost of any legislation enacted in the 1994 session

HB 3025

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  1       of the Kansas legislature will be included in the June 30, 1994, actuarial
  2       valuation in determining contribution rates for participating employers.
  3           (7) The board with the advice of the actuary may fix the contribution
  4       rates for participating employers joining the system after one year from
  5       the first entry date or for employers who exercise the option contained
  6       in K.S.A. 74-4912 and amendments thereto at rates different from the
  7       rate fixed for employers joining within one year of the first entry date.
  8           (8) Employer contributions shall in no way be limited by any other
  9       act which now or in the future establishes or limits the compensation of
10       any member.
11           (9) Each participating employer shall remit quarterly, or as the board
12       may otherwise provide, all employee deductions and required employer
13       contributions to the executive secretary for credit to the Kansas public
14       employees retirement fund within 20 days after the end of the period
15       covered by the remittance or within 25 days after forms or written in-
16       structions from the system were mailed by the system to such employer,
17       whichever is later. Remittances of such deductions and contributions re-
18       ceived after such date are delinquent. Delinquent payments due under
19       this subsection shall be subject to interest at the rate established for in-
20       terest on judgments under subsection (a) of K.S.A. 16-204 and amend-
21       ments thereto. At the request of the board, delinquent payments which
22       are due or interest owed on such payments, or both, may be deducted
23       from any other moneys payable to such employer by any department or
24       agency of the state.
25           Sec. 3. K.S.A. 1997 Supp. 74-4902 and 74-4920 are hereby repealed.
26           Sec. 4. This act shall take effect and be in force from and after its
27       publication in the statute book.
28      
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