AN ACT relating to sick leave for members of the Teachers' Retirement System and declaring an emergency.

Amend KRS 161.155 to specify that sick leave payments made to certified school employees who began participating in the Teachers' Retirement System (TRS) prior to January 1, 2022, and who retire from TRS on or after July 1, 2024, shall be limited to the sick leave accrued by the employee as of June 30, 2024, plus no more than 10 additional sick leave days accrued each fiscal year thereafter; provide that the 10 additional days eligible for payment shall not include personal leave, emergency leave, or other forms of non-sick leave balances; require each school district to annually report sick leave balances to TRS beginning with the fiscal year ending June 30, 2024 and specify contents of the report; amend KRS 161.152 and 161.154 to further clarify that emergency leave and personal leave shall not be converted to sick leave under KRS 161.155; amend KRS 161.400 to require TRS to annually report in the annual actuarial valuation the total liabilities and costs of the sick leave program created by KRS 161.155; amend KRS 161.623 to allow school districts to convert excess sick leave accrued annually in excess of 10 days specified by the bill to service credit in TRS the school district pays the cost of conversion; amend KRS 161.643 to include new sick leave reporting requirements in the annual statutory reporting requirements for TRS employers; provide that the Auditor of Public Accounts shall perform a special audit of the sick leave program to ensure sick leave balances are being reported correctly to TRS and specify that TRS shall pay the costs of the audit; EMERGENCY.