RETIREMENT SYSTEM FOR ELECTED OFFICIALS

Kansas City Code ch. 2, art. IX, div. 6

in effect

Kansas City Code § 2-1331 Elected officials not to participate in employees' retirement system.

Sec. 2-1331. - Elected officials not to participate in employees' retirement system. (a) Notwithstanding the provisions of section 2-1172(c), from and after November 27, 1968, elected officials shall not participate in the employees' retirement system and shall be considered terminated employees in that retirement system. Beginning October 20, 2024, this provision shall not apply to municipal court judges appointed after April 30, 2011. (b) From and after the effective date of this division, all annuities now being paid to former active members or to beneficiaries of former active members under the terms of present or former ordinances of the city, and all rights presently vested in former active members to receive benefits in the future under the terms of present or former ordinances of the city, will remain in effect and be unchanged by the enactment of this division. (c) The city has the right to discontinue or terminate the retirement system plan in whole or in part. The rights of all affected members to benefits accrued to the date of termination, partial termination, or discontinuance, or cessation of contributions by an employer shall be 100 percent vested and nonforfeitable to the extent funded. (Admin. Code 1967, § A9.130; Ord. No. 36147, 11-27-68; Ord. No. 951643, § A, 12-21-95; Ord. No. 240596, § 1, 10-10-24)

Kansas City Code § 2-1332 Eligibility; retirement benefits.

Sec. 2-1332. - Eligibility; retirement benefits. (a) Generally. Each member of the plan, as the term member is fully defined in subsection (f), shall receive an annuity payable until the first day of the month following death and beginning 1) the first day of the month following attainment of age 60; or 2) the later of the expiration of the member's last term of office or the date of attaining mandatory retirement age if that date occurs during a term of office. Nothing herein shall be construed as preventing or limiting an elected official's ability after serving one elective term to retire prior to the completion of a term of office and receive an annuity computed in accordance with the retirement date selected by the elected official. (b) Application for retirement. Written application to the board of trustees shall be made at least 30 days prior to retirement date. (c) Amount of annuity. For those elected officials whose service terminates on or after November 1, 2000, the annuity shall be 2.22 percent of the average monthly compensation received by then serving elected officials of the same office during the 24 months next preceding the beginning of the annuity, multiplied by the number of years' and months' creditable service, limited to 70 percent of the existing salary for then serving elected officials of the same office. (d) Cost-of-living adjustment. An annual cost-of-living adjustment in annuities shall be payable under these conditions: (1) Effective date of adjustment and applicability. An annual cost-of-living adjustment shall be payable on pension checks to be dated May 1 of the current year and shall remain unchanged until the next effective date of adjustment. For retirements occurring on or after January 1, 2021, the adjustment shall apply to all beneficiaries receiving benefits, except no pension of any member or beneficiary retiring after February 1 of any year shall be adjusted until May 1 of the succeeding year. (2) Amount of adjustment. The adjustment shall be three percent, each year, non compounded. (e) Early retirement; rule of 80. (1) Elected officials may elect early retirement beginning at the later of age 55 or completion of ten years' creditable service. The benefit as computed in this subsection shall be reduced by 0.5 percent for each month the effective date is prior to the first day of the month following attainment of age 60. (2) A member may elect to retire when the total of the member's age and years of creditable service equal or exceed 80, without reduction of benefits as calculated in this subsection. (f) Membership. (1) Members of the council, including the mayor. a. Exclusion from plan. Unless otherwise provided, no members of the council, including the mayor, who commence a term of office after April 30, 2011 shall participate in this plan for any service after April 30, 2011. The city will, however, for those nonmembers, provide a Kansas City Elected Officials Money Purchase Plan for their service after April 30, 2011, as set forth in [chapter] 2, article IX, division 9. b. Exception. Members of the council, including the mayor, elected on March 27, 2007 for a term beginning May 1, 2007 and also elected on March 22, 2011 for a term beginning May 1, 2011 are members of this plan as long as they are continuously a member of the council, including the mayor. (2) Judges of the municipal court. a. Continuous service on and after May 1, 2011. Judges of the municipal court, retained on March 22, 2011 for a term beginning May 1, 2011 are members of this plan or any other plan which they previously joined. No judges of the municipal court appointed to the court by the mayor and council on or after May 1,2011 shall participate in this plan for any service. b. Appointment on and after May 1, 2011. Judges of the municipal court appointed on or after May 1, 2011 are not members of this plan. The city will, however, for those nonmembers, provide a Kansas City Elected Officials Money Purchase Plan for their service after April 30, 2011, as set forth in [chapter] 2, article IX, division 9. Beginning October 20, 2024, any municipal court judge who is not a member of the retirement plan for elected officials in this division 6 shall become a member of the employees retirement system. (g) Required distributions. Distribution of a member's interest in the retirement system shall commence not later than April 1 of the calendar year following the later of the calendar year in which the member attains age 72 or the calendar year in which the member retires under the plan. The required distribution date shall be age 73 for members who attain age 72 after December 31, 2022, age 74 for members who attain age 73 after December 31, 2029, and age 75 for members who attain age 74 after December 31, 2032. (h) Creditable service. The term "creditable service," as used in this section, shall mean service as a city employee and elected official continuously to either the member's retirement date or the member's attaining mandatory retirement age, whichever occurs first. If a member of the employees' retirement system becomes a member of this elected officials' retirement system maintaining a continuous service, the member's employees' retirement system member contributions and interest shall not be refunded, but shall be transferred to the member's account in the elected officials' retirement system. (i) Withdrawal of contributions. A member retiring under the provisions of subsection (a) of this section, except disability retirements, may elect, with signed consent of the member's spouse, to withdraw all or a portion of the member's accumulated contributions and interest, and receive a reduced annuity. The annuity calculated in this subsection (i) shall be reduced an actuarially equal amount by applying factors adapted by the board of trustees upon recommendation of the retirement system's consulting actuary. (1) Rollovers. The provision applies to distributions made on or after January 1, 1993. Notwithstanding any provision of the retirement system plan to the contrary that would otherwise limit a distributee's election under this provision, a distributee may elect, at the time and in the manner prescribed by the board of trustees, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover. a. Eligible rollover distributions. An eligible rollover distribution is any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary, or for a specified period of ten years or more; any distribution to the extent such distribution is required under section 401(a)(9) of the Internal Revenue Code; and the portion of any distribution that is not includable in gross income (determined without regard to the exclusion for net realized appreciation with respect to employer securities). b. Eligible retirement plan. An eligible retirement plan is an individual retirement account described in section 408(a) of the Internal Revenue Code, an individual retirement annuity described in section 408(b) of the Internal Revenue Code, an annuity plan described in section 403(b) of the Internal Revenue Code, or a qualified trust described in section 401(a) of the Internal Revenue Code, that accepts the distributee's eligible rollover distribution. However, in the case of an eligible rollover to the surviving spouse, an eligible retirement plan is an individual retirement account or individual retirement annuity. c. Distributee. A distributee includes a member or former member. In addition, the member's or former member's surviving spouse and the member's former spouse who is the alternative payee under a state domestic relations order determined by the board of trustees, based on written procedures, to be a qualified domestic relations order, are distributees with regard to the interest of the spouse or former spouse. d. Direct rollover. A direct rollover is a payment by the fund to the eligible retirement plan specified by the distributee. (j) Health insurance subsidy. A $200.00 monthly retiree health insurance subsidy shall be payable to all retired members effective November 1, 2000. (k) Limitations. Benefits with respect to a member may not exceed the maximum benefits specified under Section 415 of the Federal Internal Revenue Code for governmental plans. (l) Spouse. For purposes of this division, spouse is defined as a husband or wife, lawfully married in any jurisdiction, of the member. Surviving spouse is defined as the spouse of a member surviving the member's death. (Admin. Code 1967, § A9.131; Ord. No. 36147, 11-27-68; Ord. No. 44932, 1-3-75; Ord. No. 56355, 4-27-84; Ord. No. 57088, 10-25-84; Ord. No. 57452, 2-7-85; Ord. No. 61653, 11-12-87; Ord. No. 930282, 4-8-93; Ord. No. 951643, § A, 12-21-95; Ord. No. 960204, § A, 3-28-96; Ord. No. 98144, § 1, 12-29-98; Ord. No. 990413, § 1, 4-1-99; Ord. No. 000865, § 3, 7-13-00; Ord. No. 040660, § 1, 6-24-04; Ord. No. 041003, § 1, 9-23-04; Ord. No. 051548, § 1, 1-5-06; Ord. No. 110218, § 1, 4-14-11; Ord. No. 140976, § 4, 12-11-14; Ord. No. 210001, § 1, 1-14-21; Ord. No. 240596, § 1, 10-10-24)

Kansas City Code § 2-1333 Death benefits.

Sec. 2-1333. - Death benefits. (a) Death before retirement. Upon death of an elected official for any cause prior to retirement, these amounts shall be payable as full final settlement of any and all claims for benefits under the retirement system established in this division: (1) If the elected official had less than four years of creditable service, the elected official's surviving spouse shall be paid in a lump sum the amount of accumulated contributions and interest. If there be no surviving spouse, payment shall be made to the member's designated beneficiary, or, if none, to the executor or administrator of the elected official's estate. (2) If the elected official had four but less than 20 years of creditable service, the elected official's surviving spouse may elect, in lieu of the lump sum settlement described in subsection (a)(1) of this section, an annuity. Such annuity shall be half of the elected official's accrued annuity at date of death. The effective date shall be the latter of the first day of the month after the elected official's death or attainment of what would have been the elected official's early retirement date as provided in section 2-1332. (3) If the elected official had 20 or more years of creditable service, the elected official's surviving spouse may elect, in lieu of the lump sum settlement described in subsection (a)(1) of this section, the larger of the annuity as computed in subsection (a)(2) of this section or an annuity determined on a joint and survivor's basis from the actuarial value of the elected official's accrued annuity at date of death. (4) Any death of a retired elected official occurring before the date of first payment of the retirement annuity shall be deemed to be a death before retirement. (b) Death after retirement. Upon death of an elected official for any cause after retirement, these amounts shall be payable: (1) The elected official's surviving spouse, providing the marriage occurred on or before date of retirement, shall receive an annuity equal to half the elected official's accrued annuity as computed under section 2-1332. (2) Should the total amount paid to a member and surviving spouse be less than the member's accumulated contributions and interest, the remaining balance shall be paid to the elected official's beneficiary constituting full and final settlement of any and all claims for benefits under this retirement system. (3) If no beneficiary is designated or survives the demise of the member, payment shall be made according to the law of descent or to the administrator or the executor of the estate of the member. (c) If a death benefit is being paid to a designated beneficiary other than the member's spouse, payments shall either: (1) Be completed by December 31 of the fifth calendar year following the year of the member's death; or (2) If there is no designated beneficiary, payment of a death shall commence no later than December 31 of the fifth calendar year following the year of the member's death. (Admin. Code 1967, § A9.132; Ord. No. 36147, 11-27-68; Ord. No. 57452, 2-7-85; Ord. No. 951643, § A, 12-21-95)

Kansas City Code § 2-1334 Termination benefits.

Sec. 2-1334. - Termination benefits. (a) Generally. Upon termination of office for any lawful reason other than death, a member of the retirement system established by this division shall be paid all the member's accumulated contributions with interest, and upon such payment all benefits and rights of the member and the member's beneficiaries shall terminate. (b) Deferred annuity. Upon termination of office for any lawful reason other than death, a member who has completed one or more elective terms as now constituted who does not withdraw the member's contributions may elect to receive a deferred annuity as provided in section 2-1332. Should the member later choose to withdraw the member's contributions and interest before annuity payments begin, the member shall forfeit all rights to any and all benefits. The member may elect to withdraw the member's contributions within the 30-day period prior to the deferred annuity effective date, as outlined in section 2-1332(i). (Admin. Code 1967, § A9.133; Ord. No. 36147, 11-27-68; Ord. No. 960204, § A, 3-28-96; Ord. No. 140976, § 4, 12-11-14)

Kansas City Code § 2-1335 Deduction of member contributions from salaries; pickup of member contributions by employer.

Sec. 2-1335. - Deduction of member contributions from salaries; pickup of member contributions by employer. (a) Compensation means the basic monthly wage or salary paid an elected official excluding bonuses, overtime, expense allowance and other extraordinary compensation. Compensation shall include amounts contributed to any plan maintained by the employer pursuant to a salary reduction agreement where the member could have elected to receive such amount as case compensation. Annual compensation means compensation defined in section 415(c)(3) of the Internal Revenue Code and section 1.415-2(d) of the Treasury Regulations, but in no event more than $200,000.00 per calendar year (as adjusted annually under section 401(a)(17) of the Internal Revenue Code). Annual compensation also includes amounts contributed by the employer pursuant to a salary reduction agreement which are excludable from a member's gross income under sections 125, 401(a)(8), 402(h), or 403(b) of the Internal Revenue Code. Effective on and after January 1, 1996, in addition to other applicable limitations set forth in the plan, and notwithstanding any other provision of the plan to the contrary, for plan years beginning on or after January 1, 1996, and only for elected officials who were not members before January 1, 1996, the annual compensation of each member taken into account under the plan shall not exceed to OBRA '93 annual compensation limit. The OBRA '93 annual compensation limit is $150,000.00, as adjusted by the commissioner for increases in the cost of living in accordance with section 401(a)(17) of the Internal Revenue Code. The cost-of-living adjustment in effect for a calendar year applies to any period, not exceeding 12 months, over which compensation is determined (determination period) beginning in such calendar year. If a determination period consists of fewer than 12 months, the OBRA '93 annual compensation limit will be multiplied by a fraction, the numerator of which is the number of months in the determination period, and the denominator of which is 12. For plan years beginning on or after January 1, 1996, and only for elected officials who were not members before January 1, 1996, any reference in this pension system plan to the limitation under section 401(a)(17) of the Internal Revenue Code shall mean the OBRA '93 annual compensation limit set forth in this provision. If compensation for any prior determination period is taken into account in determining a member's benefits accruing in the current plan year, the compensation for that prior determination period is subject to the OBRA '93 annual compensation limit in effect for that prior determination period. For this purpose, for determination periods beginning before the first day of the plan year beginning on or after January 1, 1996, or OBRA '93 annual compensation limit is $150,000.00. (b) Member contributions. Each elected official shall contribute, by means of payroll deductions, five percent of the member's base rate of compensation until the first pay period following June 6, 1998, when the contribution rate thereafter shall be four percent of compensation. For the pay period beginning April 20, 2014, and thereafter, each member of the plan shall contribute, by means of payroll deductions, five percent of compensation. (c) The employer, pursuant to the provisions of section 414(h)(2) of the United States Internal Revenue Code, shall pick up and pay the contributions which would otherwise be payable by members as prescribed in this division, commencing with the pay period ending May 11, 1986. The contributions so picked up shall be treated as employer contributions for purposes of determining the amounts of federal and state income taxes to withhold from the member's compensation. (d) Member contributions picked up by the employer shall be paid from the same source of funds used for the payment of compensation to a member. A deduction shall be made from each member's compensation equal to the amount of the member's contributions picked up by the employer, provided that such deduction shall not reduce the member's compensation for purposes of computing benefits under sections 2-1333, 2-1334 and 2-1339, including amendments thereto. Member contributions picked up by the employer shall be paid to the retirement system administrators as provided in section 2-1337. Such contributions shall be credited to a separate account within the member's individual account so that amounts contributed by the member before the pay period ending May 11, 1986, may be distinguished from the member contributions picked up by the employer. Interest shall be added annually to members' individual accounts. (e) Member contributions picked up by the employer shall be deemed earnings subject to the city earnings tax. (f) The official shall not have the option of choosing to receive the contributed amounts directly instead of having them paid by the employer to the retirement system. (g) Trust. The assets of the retirement system shall be held in trust by the board of trustees. The trust is intended to be tax-exempt under section 501(a) of the Internal Revenue Code and the pension system plan is intended to be qualified under section 401(a) of the Internal Revenue Code. All payments made by elected officials to the retirement system fund and such other payments that are made to the fund on behalf of employers and members, and all other money or property that lawfully becomes part of the trust, together with the income, gains and all other increments shall be held, managed and administered in trust. The trust shall be known as the Employees' Retirement System of the City of Kansas City, Missouri Trust. The trustees shall perform the duties, responsibilities and obligations and in accordance with section 2-1137. It shall be impossible by operation of the trust or by its natural termination, by power of revocation or amendment, by the happening of any contingency, by collateral arrangement or by any other means, for any part of the corpus or income of the trust or any funds contributed to the trust to be used for, or diverted to purposes other than the exclusive benefit of members, for members, their beneficiaries or dependents prior to all obligations having been satisfied or provided for. No part of net earnings of the trust shall inure (other than benefit payments) to the benefit of any employer or individual; provided, however, a contribution made by an employer under a mistake of fact may be returned to the employer if the trustees so direct provided the repayment is not prohibited under applicable law and will not adversely affect the tax-exempt status of the trust. (Admin. Code 1967, § A9.134; Ord. No. 36147, 11-27-68; Ord. No. 59203, 4-4-86; Ord. No. 951643, § A, 12-21-95; Ord. No. 980525, § 1, 5-21-98; Ord. No. 140035, § 1, 2-20-14; Ord. No. 140976, § 4, 12-11-14)

Kansas City Code § 2-1336 City contributions.

Sec. 2-1336. - City contributions. The city shall contribute the amount required to maintain the system established by this division on a sound actuarial basis. No contributions shall be returned to the employer but shall be held in trust for the sole purpose of providing retirement benefits established in this division. (Admin. Code 1967, § A9.135; Ord. No. 36147, 11-27-68)

Kansas City Code § 2-1337 Administration.

Sec. 2-1337. - Administration. The system established by this division shall be administered by the retirement system provided for by division 2 of this article and shall be subject to and governed by the provisions of sections 2-1189, 2-1190, 2-1191 and 2-1192 as though reenacted in this division. Payments of members' and city contributions shall be made to the board of trustees of the employees' retirement system, who shall administer and pay benefits provided in this division. All cash arising from this system may be commingled with that of the employees' retirement system. (Admin. Code 1967, § A9.136; Ord. No. 36147, 11-27-68)

Kansas City Code § 2-1338 Removal or resignation of elected official from office.

Sec. 2-1338. - Removal or resignation of elected official from office. Any elected official who vacates office, as defined in section 6 of the Charter, or is expelled from office pursuant to the provisions of section 9 of the Charter, or is recalled pursuant to the recall provisions of article XVII of the Charter, or resigns office pursuant to the provisions of section 440 of the Charter, shall receive no retirement benefits whatsoever under the provisions of this division but shall receive only the refund of the member's accumulated contribution with interest. (Admin. Code 1967, § A9.137; Ord. No. 36147, 11-27-68; Ord. No. 140976, § 4, 12-11-14)

Kansas City Code § 2-1339 Disability retirement prior to May 1, 1996.

Sec. 2-1339. - Disability retirement prior to May 1, 1996. A member who, prior to May 1, 1996, became totally and permanently disabled, as defined in this section, shall be entitled to retire on the first day of the month following termination by the board of such disability, provided that, within at least six months prior to May 1, 1996, the member receives medical treatment which is, or becomes, supporting evidence that the member is entitled to disability pension payments. (1) Amount. Elected officials who are eligible and totally and permanently disabled, as defined in this section, shall receive a disability annuity computed as follows: a. Duty disability: 50 percent of final average compensation, but in no event less than the amount the elected official would be entitled to as an annuity if the member retired on the same date with equivalent age and creditable service. b. Nonduty disability: 30 percent of final average compensation, but in no event less than the amount the elected official would be entitled to as an annuity if the member retired on the same date with equivalent age and creditable service. The annuity shall cease upon the first day of the month following death, except that a surviving spouse or heir shall be entitled to death benefits as computed under section 2-1333. (2) Eligibility. a. Duty disability shall mean total and permanent disability directly due to and caused by actual performance of employment with the city. Elected officials eligible for retirement as provided in section 2-1332(a) shall be ineligible for duty disability retirement. b. Nonduty disability shall mean total and permanent disability arising from any other cause than duty disability. At least ten years' creditable service is required. Elected officials eligible for retirement as provided in section 2-1332(a) shall be ineligible for nonduty disability retirement. (3) Definition and determination of disability. a. Total and permanent disability shall mean a state or condition which presumably prevents for the rest of a member's life the member engaging in any occupation or performing any work for remuneration or profit. b. Such disability, whether duty or nonduty, must not have been contracted, suffered or incurred while the employee was engaged in or result from having been engaged in a criminal act or enterprise, or result from habitual drunkenness or addiction to narcotics or from self-inflicted injury, or from disability incurred while in the service of the armed forces of the United States or any foreign country. c. No benefit shall be payable if the disability results from or is incurred while the member is engaged in self-employment or in any occupation or performing any work for remuneration or profit not in the service of an employer, as defined in this division. d. The board of trustees shall make the determination as to disability, basing its findings on the evidence presented, including at least two written opinions by qualified physicians. The board shall appoint the physicians and the examination expenses shall be paid from this retirement system fund. e. From time to time, the board of trustees shall have the right to require proof of continuing disability, which may include further examination. (4) Recovery from disability. a. Should the board of trustees determine that disability no longer exists, it shall terminate the disability annuity. b. If the member immediately returns to work with the city, the member shall again earn creditable service beginning on the first day of the month following such return. Creditable service prior to disability retirement shall be reinstated. No creditable service shall accrue while receiving a disability annuity and all such annuity payments made shall be charged to the extent possible against the member's accumulated contributions and interest at date of return to work. c. Should the member not return to work with the city, the member shall be treated as a terminated employee. All annuity received shall be charged against the member's accumulated contributions and interest. (Admin. Code 1967, § A9.138; Ord. No. 57452, 2-7-85; Ord. No. 960203, § A, 3-28-96; Ord. No. 140976, § 4, 12-11-14)

Kansas City Code § 2-1340 Forfeiture of rights for fraud.

Sec. 2-1340. - Forfeiture of rights for fraud. Any person who knowingly makes any false statement, or shall falsify or permit to be falsified any record, in an attempt to defraud the retirement system shall forfeit all rights to which he may be entitled under this division. Notwithstanding any other provision of the retirement system plan to the contrary, forfeitures shall not be applied to increase the benefits any member would otherwise receive under the plan. (Ord. No. 951643, § B, 12-21-95)

Kansas City Code § 2-1341 Assignment of rights.

Sec. 2-1341. - Assignment of rights. No member, pensioner, or beneficiary entitled to any benefit payable under the retirement system plan shall have the right to assign, alienate, transfer, encumber, pledge, mortgage, hypothecate, anticipate or impair in any manner the member, pensioner or beneficiary's legal or beneficial interest, or any interest in assets of the fund, or benefits of the pension system plan. Neither the fund nor any assets thereof shall be liable for the debts of any member, pensioner, or beneficiary entitled to any benefits under the retirement system plan, nor be subject to attachment or execution or process of any court action or proceeding. Notwithstanding any of the foregoing, benefits shall be paid in accordance with any applicable requirements of any state domestic relations order; provided that such state domestic relations orders comply with written procedures adopted by the board of trustees. (Ord. No. 951643, § B, 12-21-95; Ord. No. 140976, § 4, 12-11-14)

Source: City of Kansas City, Missouri, Code of Ordinances, Charter and Zoning and Development Code (Municode Library, library.municode.com)URL: https://library.municode.com/mo/kansas_city/codes/code_of_ordinances?nodeId=PTIICOOR_CH2AD_ARTIXPEOTBE_DIV6RESYELOFFetched: 10/28/2026