KRS 67A.655: Transition to County Employees Retirement System.

The legislative body in an urban-county government may issue the appropriate

order, pursuant to KRS 78.530(1), directing participation for policemen and

firefighters in the County Employees Retirement System. All new employees who

would have been granted membership in the fund shall be members of the County

Employees Retirement System. All active members of the fund at the time of

transition to the County Employees Retirement System may choose membership in

the County Employees Retirement System or may retain membership in the local

retirement fund, but the legislative body may withdraw its order prior to the effective

date if the number of active members choosing to transfer is not sufficient to fully

fund the balance of the cost of transition after available local pension assets are

included. The urban-county government shall elect the alternate participation plan,

pursuant to KRS 78.530(3), for active members who transfer to the County

Employees Retirement System. Notwithstanding the provisions of KRS 78.530(3)(b),

the urban-county government may, at its option, extend the payment period for the

cost of alternate participation to a maximum of thirty (30) years with the interest at

the rate actuarially assumed by the County Employees Retirement System board.

The urban-county government shall have the right to use assets in the local pension

fund, other than those assets, as determined by actuarial valuation, necessary to

pay benefits to the remaining active members of the local retirement fund and

retirees and their survivors, to assist in the payment of the annual installment cost of

alternate participation. The County Employees Retirement System employee

contribution shall be made as a deduction from salary, and payment to the member

of salary less this deduction shall constitute a full and complete discharge and

acquittance of all claims and demands whatsoever for the services rendered by the

member during the period covered by the payment. All policemen and firefighters

who become members of the County Employees Retirement System pursuant to this

section shall be granted hazardous duty coverage.