KY HB219

Increases monthly insurance contributions for Kentucky Employees Retirement System and State Police Retirement System members who began participating on or after July 1, 2003, and meet the "career threshold" (27 years for nonhazardous, varies for hazardous positions): $40/year of service for non-Medicare eligible retirees and $10/year for Medicare-eligible retirees in nonhazardous positions; $50/year and $15/year respectively for hazardous positions

Extends the 1% employee contribution deduction for retiree health benefits to all members who began participating on or after July 1, 2003 (previously applied only to those starting September 1, 2008 or later), with 2% for hazardous and State Police positions, effective July 1, 2027

Creates a two-tier retiree health contribution structure distinguishing between members who meet the career threshold (higher benefits) and those who do not (existing $10/$15 per year of service amounts)

Directs the Public Pension Oversight Board to evaluate potential legislative options during the 2026 Interim to further adjust retiree health benefits if actuarial improvements continue

Enhanced contribution amounts apply prospectively for health plan premiums beginning January 1, 2027, and cover service accrued on or after July 1, 2003, regardless of retirement date