CS/HB 151 — Florida Retirement System
by Appropriations Committee and Rep. Busatta Cabrera and others (SB 7024 by Governmental Oversight and Accountability Committee and CS/SB 400 by Governmental Oversight and Accountability Committee and Senators Burgess, Hooper, and Collins)
This summary is provided for information only and does not represent the opinion of any Senator, Senate Officer, or Senate Office.
Prepared by: Governmental Oversight and Accountability Committee (GO)
The bill establishes the contribution rates paid by employers that participate in the Florida Retirement System (FRS) beginning July 1, 2024. These rates are intended to fund the full normal cost and the amortization of the unfunded actuarial liability of the FRS and the impact of changes made by the bill. The 3 percent employee contribution rate is not changed by this bill.
The bill authorizes an FRS retiree to be reemployed with an employer participating in the FRS and receive both compensation and retirement benefits, after meeting the definition of termination. This effectively eliminates the “suspension of benefits” period typically applied during months 7 through 12 after the date of retirement.
The bill also closes the FRS Preservation of Benefits Plan to new members effective July 1, 2026. The Preservation of Benefits Plan currently provides for FRS members to be eligible to receive a benefit that is in excess of the annual benefit limit established by the Internal Revenue Service. Effective July 1, 2024, the limitation on an annual benefit under a defined benefit plan is $275,000.
If approved by the Governor, or allowed to become law without the Governor’s signature, these provisions take effect July 1, 2024.
Vote: Senate 39-0; House 109-0