{"data":{"id":"us-ky/krs-18a.227","jurisdiction":"us-ky","citation":"KRS 18A.227","heading":"Flexible benefits plan for employees and retirees.","body":"(1) For purposes of this section, the following definitions shall apply:\n(a) \"Cafeteria plan\" shall mean a flexible benefits plan which meets the\nrequirements of Section 125 of the Federal Internal Revenue Code;\n(b) \"Employee\" shall mean a person, including an  elected public official, who is\nregularly employed by any department, board, agency, or branch of state\ngovernment, and who is a contributing member to any one (1) of the\nretirement systems administered by the state;\n(c) \"Cabinet\" shall mean the Personnel Cabinet;\n(d) \"Change in family status\" shall have the same meaning as used in Section 125\nof the Internal Revenue Code and regulations promulgated thereunder; and\n(e) \"Salary reduction contribution\" means all employer contributions that are\nexcludable from gross income under the Internal Revenue Code.\n(2) As part of the employee benefits provided to state employees under this chapter, the\ncabinet may develop and make available to eligible employees a flexible benefits\nplan which meets the requirements for treatment as a cafeteria plan under Section\n125 of the Internal Revenue Code. The plan shall be in writing and shall be\navailable on an equal basis to all eligible employees within each county.\n(3) Options available under the plan may include, but are not limited to:\n(a) Health insurance coverage;\n(b) Managed health care coverage;\n(c) Catastrophic illness coverage;\n(d) Dental insurance;\n(e) Term life insurance-accidental, death, or dismemberment;\n(f) Vision insurance;\n(g) Long term disability insurance;\n(h) Long term medical care; and\n(i) Any other benefits which may be offered under the provisions of the Internal\nRevenue Code and which the cabinet determines to be in the best interests of\nstate employees.\n(4) Any employee who desires to participate in optio ns offered under the plan, may\ndirect that any options elected shall be funded through payroll deduction. Once an\noption is chosen, it shall not be changed until the end of the period for which\nelection is made unless the employee experiences a change in f amily status, other\nchange of status, or special enrollment rights under the Federal Health Insurance\nPortability and Accountability Act of 1996 which necessitates a revision of his\nbenefit election.\n(5) Any employee contributions required toward the purch ase of the selected options\nshall be made by a salary reduction contribution, to the extent the benefits would be\nconsidered to be tax -free under Chapter 1 of the Internal Revenue Code, and by\nafter-tax salary deduction where the elected option is not tax-free.","path":["KRS Chapter 18A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=1408","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:48:40Z","sha256":"a2426bc99e1cc1acce4657d7bde30ee2aab3d30a085a9c3ce4e61627d06d3604","source_id":"us-ky","stale":false,"prev":"us-ky/krs-18a.226","next":"us-ky/krs-18a.2271"},"notice":"GroundRules: Original legal text. Not legal advice."}