The bill enacts the Kansas Retirement Investment and Savings Plan Act (KRISP), which establishes a new retirement plan for public employees in Kansas, effective July 1, 2027. Under this act, employees hired by participating employers on or after this date will automatically become members of KRISP unless they opt out within 30 days. Certain groups, including members of the Kansas police and firemen's retirement system and judges, are excluded from this plan. The act also creates a defined contribution fund and allows for employer contributions to cover the actuarial costs of the defined benefit plan. Additionally, it introduces a deferred compensation plan and a qualified Roth contribution program for KRISP members.

The bill amends the Kansas retirement investment and savings plan by instituting new contribution requirements, mandating active members to contribute 6% of their compensation to a mandatory contribution account and an initial 1% to a deferred compensation account, which will increase annually until reaching a maximum of 10%. Employers are required to match these contributions and contribute 4% of the member's compensation to their employer contribution account. The bill also outlines the investment policy, allowing members to direct their investments and withdraw their vested account balances upon termination of service. Furthermore, it establishes specific employer contribution rates for the Kansas public employees retirement system (KPERS) for various fiscal years, with provisions for electronic remittance of contributions and penalties for late payments. The bill will take effect upon publication in the statute book.

Statutes affected:
As introduced: 74-4920