KRS 7A.250: Powers and duties of board. (Effective April 1, 2021)

The Public Pension Oversight Board:

(1) Shall, from time to time, conduct an impartial review of all the laws governing the

state-administered retirement systems and recommend any changes it may find

desirable with respect to benefits and administration, f unding of benefits,

investments of funds, and the improvement of language, structure, and organization

of the statutes;

(2) May, once every five (5) years, review the benefits provided to employees who

begin participating in the systems administered by Kentucky Retirement Systems or

the County Employees Retirement System on or after January 1, 2014, and

recommend any changes to the provisions affecting these employees that are

necessary to maintain the actuarial soundness of the systems;

(3) Shall review se miannually the investment programs of the state -administered

retirement systems, including a review of asset allocation targets and ranges, risk

factors, asset class benchmarks, total return objectives, relative volatility,

performance evaluation guideline s, investment policies, and securities litigation

policies and recoveries from fraud or other corporate malfeasance. The board may

establish an advisory committee, as provided by KRS 7A.260, which may include

investment professionals to assist in complying with the provisions of this

subsection;

(4) May review any benefits, bylaws, policies, or charters established by the state -

administered retirement systems;

(5) Shall, at the request of the Speaker of the House of Representatives or the President

of the S enate, evaluate proposed changes to laws affecting the state -administered

retirement systems and report to the Speaker or the President on the probable costs,

actuarial implications, and desirability as a matter of public policy;

(6) May review all new or amended administrative regulations of the state-administered

retirement systems and provide comments to the Administrative Regulation Review

Subcommittee established by KRS 13A.020;

(7) Shall research issues related to the state-administered retirement systems as directed

by the Legislative Research Commission;

(8) Shall at least once every five (5) years have an actuarial audit performed for the

state-administered retirement systems to evaluate the reliability of each system's

actuarial assumptions and met hods. The actuarial audit shall be performed by an

actuary retained by the Public Pension Oversight Board;

(9) May prior to each budget biennium occurring on or after July 1, 2020, have an

actuarial review of the funding requests and needs submitted by the state-

administered retirement systems. The review shall be performed by an actuary

retained by the Public Pension Oversight Board;

(10) Shall once every four (4) years review the administrative expenses of the state -

administered retirement systems. The re view shall include but not be limited to

evaluating the level and growth of administrative costs, the potential for legislative

changes to reduce administrative costs, and administrative changes the systems may

make to reduce administrative costs and staffing needs; and

(11) Shall publish an annual report covering the board's evaluation and recommendations

with respect to the operations of the state -administered retirement systems. The

report shall be submitted to the Legislative Research Commission no late r than

December 31 of each year and shall include at a minimum any legislative

recommendations made by the board, a summary of the financial and actuarial

condition of the state -administered retirement systems, and an analysis of the

adequacy of the current levels of funding.