The bill enacts the Kansas Retirement Investment and Savings Plan Act (KRISP), establishing a new retirement plan for public employees in Kansas, effective July 1, 2027. It mandates that employees hired by participating employers after this date will automatically become members of KRISP unless they opt out within a specified timeframe. Certain groups, including members of the Kansas police and firemen's retirement system and judges, are excluded from this plan. The legislation also creates a defined contribution fund, allows employer contributions to amortize costs of the defined benefit plan, and authorizes the pooled money investment board to loan funds for startup and administrative costs, pending approval from the state finance council.

Additionally, the bill amends the Kansas retirement investment and savings plan by introducing new contribution requirements, mandating active members to contribute 6% of their compensation to a mandatory account and an initial 1% to a deferred compensation account, which will increase annually until reaching 10%. Employers are required to match these contributions and provide additional contributions based on the member's deferred compensation plan contributions. The bill outlines investment options for members, establishes provisions for the distribution of vested account balances upon termination, and creates a new fund within the state treasury to be managed by the Kansas public employees retirement system. It also sets specific employer contribution rates for the Kansas public employees retirement system (KPERS) for various fiscal years and mandates electronic remittance of employee deductions and contributions by participating employers.

Statutes affected:
As introduced: 74-4920