This bill amends the Kansas Public Employees Retirement Act of 2015 by adjusting the investment return threshold for calculating the dividend interest credit. Specifically, it increases the dividend share from 75% to 80% of the average net compound rate of return for the five years preceding the calculation, while also lowering the threshold for the market value of the system's assets from above 6% to above 5%. The changes apply to the additional interest credits for members' annuity savings and retirement annuity accounts, which will now be calculated based on the average net rate of return for the previous five years starting from calendar year 2024.

Additionally, the bill repeals the existing sections of K.S.A. 74-49,306 and K.S.A. 74-49,308, which contained the previous provisions for determining additional interest credits. The new provisions will ensure that members receive a higher dividend share based on a more favorable calculation method, thereby enhancing the benefits of the retirement system for public employees in Kansas. The act will take effect upon publication in the statute book.

Statutes affected:
As introduced: 74-49