KRS 95.767: Board of trustees of pension fund -- Membership -- Officers -- Treasurer --

Option to convert pension benefits to annuity benefits.

(1) (a) There shall be organized in connection with the police and fire departments a

board to be known as the board of trustees of the policemen's and firefighters'

pension fund.

(b) If there are six (6) or more active members of the fund, the board shall be

composed of the mayor of the city, city treasurer or chief financial officer, one

(1) member of the city legislative body appointed by the mayor, one (1) retired

member each from the police and fire departments elected by the respective

retired members of those departments annually by ballot, and one (1) active

member of the fund from each department elected by the active members of

the fund from the respective departments annually. If all of the six (6) or more

active members or all of the retired members are from one (1) department,

then both of the active member board members or both of the retired board

members, as the case may be, shall be elected from that department.

(c) If there are fewer than six (6) active members of the fund, no active members

of the departments shall be elected to the board. The trustees shall select from

their number a president and secretary. The city treasurer or chief financial

officer shall be ex officio treasurer of the board and custodian of its funds.

(d) If there are fewer than six (6) active and retired members of the policemen's

and firefighters' pension fund, the board of t rustees shall be composed of the

mayor, city treasurer or chief financial officer, one (1) member of the city

legislative body appointed by the mayor, and two (2) employees appointed by

the mayor, one (1) from the city police department and one (1) from th e city

fire department, who shall serve for one (1) year and until their respective

successors are appointed and qualified. If all of the members of the pension

fund are from one (1) department, no appointment shall be made from the

other department.

(2) The board of trustees membership shall be restructured according to the provisions

of this section at the time of the next scheduled election of board members after

July 15, 2016.

(3) If there are fewer than twelve (12) active and retired members or beneficiaries of the

policemen's and firefighters' pension fund, the governing body of the fund may elect

to offer to individuals entitled to benefits from the fund a one (1) time irrevocable

option to convert monthly pension benefits from the fund to monthly ann uity

benefits from an insurance company for the same amount. An insurance company

accepting a benefit transfer shall honor any features and options available under the

existing plan. If the governing body of the fund elects to offer the option to convert

monthly pension benefits to monthly annuity benefits, it shall provide to individuals

entitled to benefits from the fund sufficiently complete and appropriate disclosures

to assist in making an informed decision.