HB 418 Summary

• Creates two membership tiers for Kansas City police officers and civilian employees with different retirement benefits, effective August 28, 2013: Tier I for members before that date and Tier II for members on or after that date.

• Increases the normal retirement age and service requirements for Tier II members (27 years of service instead of 25 for police; age 67 instead of 65 for civilian employees) and raises the maximum creditable service from 30 to 32 years for police officers.

• Changes the pension calculation for Tier II members to increase the maximum pension to 80 percent of final compensation for police officers (up from 75 percent for Tier I members retiring after August 28, 2013).

• Establishes a $200 monthly supplemental retirement benefit for Tier II police members and adds new cost-of-living adjustment eligibility provisions based on years of service and retirement age for both tiers.

• Modifies contribution requirements to base city contributions on annual actuarial required contributions plus $200 per month for each member receiving supplemental benefits, replacing the previous 12 percent minimum contribution rate.