Request By:
Mr. Mim C. Clark
General Manager
Kentucky Retirement Systems
226 West Second Street
Frankfort, Kentucky 40601
Opinion
Opinion By: Robert F. Stephens, Attorney General; Patrick B. Kimberlin, III, Assistant Attorney General
This is in response to your recent letter pertaining to a member of the Kentucky Employee's Retirement Systems (KERS), Mr. Gilbert D. Sayre, Jr., who apparently wishes to request a refund of his contributions yet retain what he deems to be his "right" to pursue disability retirement. It appears that Mr. Sayre's attorney has advised him not to fill out any of the forms provided by the retirement system pertaining to the options available to him, but has drafted a form requesting a withdrawal of all Mr. Sayre's contributions and also reserving "all legal benefits and service rights." You now ask our opinion as to the following question.
"May we refund Mr. Sayre his contributions based on the attached request since his attorney advises him to not sign our standard Request for Refund, Form 25?"
As you are aware, KRS 61.625 specifically provides that a payment of a refund of contributions to a member "shall be in lieu of any other benefits due for such period of service" under the statutory provisions of the KERS. Accordingly, Mr. Sayre may not be permitted to receive a refund of his contributions and at the same time be permitted to reserve the right to seek disability or other retirement options.
In passing, we would also note that the Board of Trustees, pursuant to KRS 61.645(9)(e), has adopted specific forms to be used by members when they seek service or disability retirement or when they wish to receive a refund of their contributions. Accordingly, it would be improper for the KERS to conduct such business on any unauthorized form such as that submitted by Mr. Sayre's attorney.