Rep. Ron Crimm prefiles bill dealing with Kentucky's retirement system for the 2012 Legislative Session
Legislation will end consolidation of legislators' retirement plan with other state funded plans
FRANKFORT, Ky. – Rep. Ron Crimm, R-Louisville (33rd District) announced today he has prefiled a bill for the 2012 session of the General Assembly that if passed would seek to overturn a 2005 law allowing legislators to combine their retirement plan with other state funded plans.
“Recent stories in the press about former and current legislators receiving six-figure pensions while our state retirement system is billons in debt is not only troubling to me but to the taxpayers of our great Commonwealth,” said Rep. Crimm in filing the bill. “By trying to right a previous wrong I’m hoping that we as lawmakers can gain some degree of confidence back from those who elect us to serve them.”
Rep. Crimm’s proposal would not allow legislators to consolidate their retirement accounts with any in the Kentucky State Police Retirement System, the Kentucky Employees Retirement System, the County Employees Retirement System, and the Kentucky Teachers’ Retirement System if any legislator is receiving benefits.
His bill would make this rule retroactive to members contributing to a retirement plan on or after June 20, 2005 and have service credit in any of the other state pension systems prior to August 1, 2012 unable to combine previous income under their retirement accounts. The 2005 date is when a previous bill, HB 299 which passed in the 2005 session and became law without the signature of former Governor Ernie Fletcher, allowed current and former members of the General Assembly to combine incomes which equates to higher annual pensions.
“I like many of my fellow legislators voted yes on HB 299 in the 2005 session. However I now realize our action in passing this bill has led to unintended consequences and increased the strain on our state retirement system. I’m hoping this bill will right that wrong,” added Rep. Crimm.
The bill is prefiled as BR 323 for the 2012 Regular Session.