House Bill 4307er
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1
2 An act relating to the City of Tampa,
3 Hillsborough County, and particularly to the
4 City Pension Fund for Firefighters and Police
5 Officers in the City of Tampa; enabling an
6 increase in the accrual of benefits from 2
7 percent to 2.5 percent for additional years of
8 service after 26 years; providing for pension
9 benefits after 20 years of service without
10 reduction upon separation; providing for a
11 Deferred Retirement Option Program; providing
12 for additional benefits; providing for
13 contribution rates; providing an effective
14 date.
15
16 Be It Enacted by the Legislature of the State of Florida:
17
18 Section 1. The City of Tampa is authorized and
19 empowered to enter into a supplemental contract with each and
20 every firefighter or police officer who was an active or
21 contributing member of the City Pension Fund for Firefighters
22 and Police Officers in the City of Tampa on or after the date
23 this act becomes a law, or who may hereafter enter into a
24 pension contract with the City, amending subparagraph 7(A) of
25 the City of Tampa Firefighters and Police Officers Pension
26 Contract as prescribed by Section 28-17 of the City of Tampa
27 Code [Ordinance No. 4746-A, enacted September 30, 1969], as
28 amended by Section 28-19 of the City of Tampa Code [Ordinance
29 No. 6038-A, enacted September 17, 1974], pursuant to chapter
30 74-613, Laws of Florida, as further amended by chapter 92-231,
31 Laws of Florida, and chapter 94-463, Laws of Florida, to read:
1
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 Section 7. Benefits, Pensions to
2 Members-Compulsory.--The Board shall upon its application
3 retire:
4 (A) Any member of the Fund having an aggregate of 10
5 years of actual service as defined in Section 17 in said
6 departments, and having reached the age of 46 years, who then
7 shall receive in monthly installments a pension equal to 25
8 percent of the member's average earnings for the three (3)
9 highest years within the last 10 years of service with a
10 minimum pension of $100 per month. For each additional year of
11 such actual service after 10 years, up to and including twenty
12 six (26) years, a member shall receive 2.5 percent of average
13 earnings,. For each additional year of such actual service
14 after 26 years, a member shall receive 2 percent of average
15 earnings not to exceed a total pension of 100 percent of said
16 average earnings. After 10 years of actual service as defined
17 in Section 17, this pension right shall be a vested right with
18 the payment thereof to begin upon the employee's separation
19 from the service or the employee's reaching the age of 46
20 years, whichever occurs later, so that an employee having 10
21 or more years of such actual service who resigns, retires, or
22 is otherwise separated from the service prior to reaching the
23 age of 46 years may elect to allow his contributions to remain
24 in the Pension Fund and upon reaching the age of 46 years
25 shall be entitled to commence receiving a pension based upon
26 his creditable service as herein provided, and should such
27 employee die before reaching 46 years of age, then at the time
28 that decedent would have reached 46 years of age the widow or
29 widower shall receive such benefit as the widow or widower
30 would have received under subparagraph subsection 9(C) if the
31 employee had died while receiving a pension. Provided however,
2
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 any member of the Pension Fund who prior to October 16, 1992,
2 was a participant member of Division B of the General
3 Employees Pension Plan as established by chapter 81-497, Laws
4 of Florida, as amended, shall receive benefits from this
5 Pension Fund at the rate of 2.5 percent of average earnings
6 for each year of service in this Pension Fund, provided
7 however, the 2.5 percent accrual shall not apply to any
8 service while the member was a participant of Division B of
9 the General Employees Pension Plan for the first twenty-six
10 (26) years of service after October 16, 1992, and two per
11 centum (2%) for each year of service thereafter. Upon reaching
12 social security normal retirement age, the benefit paid herein
13 shall be reduced to 60 percent of the initial benefit amount.
14 Section 2. If the City of Tampa enters into
15 supplemental contracts as provided in section 1 of this act,
16 each firefighter and police officer who was an active or
17 contributing member of the City Pension Fund for Firefighters
18 and Police Officers in the City of Tampa on or after the date
19 this act becomes a law, with more than 26 years of service, is
20 entitled to receive pension benefits, including the cost of
21 living adjustments pursuant to Section 23, from the fund upon
22 the same basis as if the member's contract had been
23 supplemented in the manner provided by section 1 of this act
24 before the member's separation from service, retroactive to
25 the date of the member's separation from service, without
26 interest.
27 Section 3. The City of Tampa is authorized and
28 empowered to enter into a supplemental contract with each and
29 every firefighter or police officer who was an active or
30 contributing member of the City Pension Fund for Firefighters
31 and Police Officers in the City of Tampa on or after the date
3
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 this act becomes a law, or who may hereafter enter into a
2 pension contract with the City, amending subparagraph 7(D) and
3 subsection 23(3) of the City of Tampa Firefighters and Police
4 Officers Pension Contract as prescribed by chapter 94-463,
5 Laws of Florida, to read:
6 (D) Notwithstanding the foregoing, any member of this
7 Pension Fund having an aggregate of 20 years of actual service
8 as a firefighter or police officer in said departments either
9 in this Pension Fund or Division B of the General Employees
10 Pension Plan, or a combination thereof, may elect to enter
11 into the Deferred Retirement Option Program (DROP), or, if the
12 member who separates from the service as a firefighter or
13 police officer, may elect to commence immediate receipt of
14 benefits regardless of age, provided, however, that the
15 benefit otherwise payable pursuant to subparagraph 7(A) shall
16 be reduced by .048 percent for each month prior to the member
17 reaching the age of 46 years. To the extent that this
18 subparagraph would result in a forfeiture of the right of the
19 Pension Fund to participate in the distribution of tax funds
20 established in chapters 175 and 185, Florida Statutes, this
21 paragraph shall be null and void.
22 (3) If a member elects to commence receipt of
23 subparagraph section 7(A) benefits after 20 years of service
24 immediately upon separation from service as provided in
25 subparagraph 7(D) or to enter into the Deferred Retirement
26 Option Program (DROP) and prior to reaching the age of 46
27 years, adjustments provided for in this section shall not
28 commence on until January 1 immediately following the October
29 1 on or before which the member separates from service as a
30 firefighter or police officer in the fire department or police
31 department, respectively, or enters the Deferred Retirement
4
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 Option Program (DROP). attains 46 years of age, and provided
2 further that such cost of living adjustments shall be paid on
3 the actuarially reduced benefits calculated pursuant to
4 subparagraph 7(D).
5 Section 4. The City of Tampa is authorized and
6 empowered to enter into a supplemental contract with each and
7 every firefighter or police officer who was an active or
8 contributing member of the City Pension for Firefighters and
9 Police Officers in the City of Tampa on or after the date this
10 act becomes a law, or who may hereafter enter into a pension
11 contract with the City, creating Section 26 of the City of
12 Tampa Firefighters and Police Officers Pension Contract to
13 read:
14 Section 26. DEFERRED RETIREMENT OPTION
15 PROGRAM.--Notwithstanding any other provisions of this
16 contract, and subject to the provisions of this section, the
17 Deferred Retirement Option Program, hereinafter referred to as
18 the DROP, is an option under which an eligible member may
19 elect to have the member's pension benefits calculated as of a
20 certain date prior to retirement, and accumulate benefits plus
21 the investment return pursuant to this section during the DROP
22 calculation period. Participation in the DROP does not
23 guarantee employment for the DROP calculation period, as
24 defined in this section.
25 (A) Eligibility.--In order to be eligible for the DROP
26 option, the member must meet the following eligibility
27 criteria:
28 (1) The member must have attained at least 20 years of
29 service but no more than 30 years of service at the time the
30 member files an election under this section. The service must
31 be as a firefighter or police officer in the fire department
5
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 or the police department, respectively, either in this Pension
2 Fund or Division B of the General Employees Pension Plan, or a
3 combination thereof. A member is eligible for accumulations
4 pursuant to the DROP for the lesser of 5 years, or the
5 difference between 30 years of service and the member's
6 service as of the effective date of the member's DROP
7 election. However, if a member has attained at least 25 years
8 of service on the date this act becomes a law and elects to
9 participate in the DROP within 90 days after receipt of
10 written notice from the Board of Trustees, the member is
11 eligible for a 5-year DROP calculation period following the
12 date this act becomes a law.
13 (2) The member must meet all eligibility requirements
14 for pension benefits, other than separation from service as a
15 firefighter or police officer in the fire department or police
16 department, respectively.
17 (3) Upon electing to participate in the DROP, the
18 member shall submit on forms required by the City and the
19 Board of Trustees:
20 (a) An irrevocable written election to participate in
21 the DROP, specifying a DROP benefit calculation date. This
22 DROP benefit calculation date is used to determine the DROP
23 calculation period, which commences on the DROP benefit
24 calculation date and ends on the earlier of (i) the last day
25 of DROP eligibility as determined under paragraph (1) or (ii)
26 the member's separation from service or death;
27 (b) An irrevocable notice of employment termination to
28 take effect upon the expiration of the DROP calculation
29 period; provided that a DROP participant shall not be
30 precluded from voluntarily terminating employment with the
31 City as a firefighter or police officer before the expiration
6
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 of the DROP calculation period, nor shall the City be
2 precluded from terminating such DROP participant's employment
3 as applicable due to disciplinary action, layoff, or other
4 separation in accordance with the applicable collective
5 bargaining agreement, civil service law, or other applicable
6 law;
7 (c) A properly completed application for longevity
8 retirement benefits to be calculated pursuant to subparagraph
9 7(A) or subparagraph 7(D) as of the DROP benefit calculation
10 date; and
11 (d) Any other information required by the Board of
12 Trustees.
13 (4) A member may only make one DROP election during
14 the member's lifetime.
15 (B) Status.--For pension purposes only:
16 (1) During the DROP calculation period, there shall be
17 no pension contribution deductions made from the earnings,
18 wages, salary, or compensation earned by the DROP participant.
19 (2) Upon entry into the DROP, a DROP participant shall
20 no longer be entitled to disability benefits pursuant to
21 subparagraph 7(B) or subparagraph 7(C).
22 (3) Death benefits under the DROP.--Upon the death of
23 a DROP participant, the named beneficiary or beneficiaries
24 shall be entitled to receive the benefits accumulated during
25 the DROP calculation period as of the date of death. After the
26 death of such DROP participant, pension benefits shall be paid
27 as required by Section 9, provided however that a surviving
28 spouse who was not married to the member during some period of
29 the member's employment as a firefighter or police officer
30 prior to the date of the member's entry into the DROP shall
31 not be entitled to Section 9 benefits. Eligibility to
7
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 participate in the DROP terminates upon the death of such DROP
2 participant.
3 (4) A DROP participant shall not be eligible to be
4 elected as a member of the Board of Trustees.
5 (5) During DROP participation, a DROP participant
6 shall be entitled to the 13th check benefit pursuant to
7 Section 27.
8 (C) Benefits under the DROP.--
9 (1) Effective with the DROP benefit calculation date,
10 a DROP participant's monthly pension installments calculated
11 pursuant to Section 7, including creditable service, such
12 participant's average earnings and the effective date of
13 retirement shall be fixed.
14 (2) The DROP accumulation shall be calculated as
15 follows:
16 (a) The amount of the monthly installments to which
17 the member would have been entitled to receive from the DROP
18 benefit calculation date to the end of the member's DROP
19 calculation period.
20 (b) The amount of any cost of living adjustments
21 pursuant to Section 23 during the DROP benefit calculation
22 period.
23 (c) Interest accumulation as set forth in this
24 section.
25 (d) The amount of the 13th check pursuant to Section
26 27.
27 (3) At the conclusion of the member's DROP benefit
28 calculation period, the Board of Trustees shall distribute the
29 member's benefits, subject to the following provisions:
30 (a) The Board of Trustees shall receive verification
31 by the City that such DROP participant's employment as a
8
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 firefighter or police officer with the fire department or
2 police department, respectively, has terminated.
3 (b) A terminated DROP participant or, if deceased,
4 such participant's named beneficiary or beneficiaries, shall
5 elect on forms provided by the Board of Trustees to receive
6 the DROP benefits in accordance with one of the options
7 provided in subparagraph 26(E)(1). Once a DROP participant
8 commences distribution under a payment method (or receives a
9 lump sum), no further interest shall be payable to the DROP
10 participant. For a DROP participant or beneficiary who fails
11 to elect a method of payment within 60 days of termination of
12 DROP participation, the Board of Trustees will pay a lump sum
13 as provided hereafter.
14 (D) Interest and Administrative Costs.--Interest shall
15 accumulate annually at the rate to reflect the Fund's net
16 investment performance, whether positive or negative, during
17 the DROP calculation period, less the cost of administering
18 the DROP, all of which shall be determined by the Board of
19 Trustees.
20 (E) Payment.--
21 (1) Upon termination of employment with the City as a
22 firefighter or police officer in the fire department or police
23 department, respectively, the accumulated DROP benefits at the
24 option of the terminated DROP participant, or if deceased,
25 such participant's designated beneficiary or beneficiaries,
26 shall be distributed to the extent allowed by law by rollover
27 to another qualified plan, as a lump sum payment, as a
28 combination of both, or in such other forms as provided by
29 rules and regulations adopted by the Board of Trustees,
30 provided that such distribution may be adjusted by the Board
31
9
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 of Trustees to maintain Internal Revenue Code qualification of
2 the Fund.
3 (2) If a DROP participant dies during the DROP
4 calculation period, or on or before the DROP participant's
5 full DROP accumulation is distributed, any remaining DROP
6 accumulation shall be distributed to the DROP participant's
7 designated beneficiary or beneficiaries, or, if there is no
8 surviving designated beneficiary, to the participant's spouse,
9 or if there is no surviving designated beneficiary and no
10 surviving spouse, to the participant's estate. Any such
11 payment shall be made in a lump sum payment, unless the
12 participant had already commenced benefit payment of their
13 DROP accumulation in an optional plan. In such an event,
14 benefits shall continue to be paid pursuant to the optional
15 benefit form selected.
16 (3) The form of distribution elected by a DROP
17 participant or surviving beneficiary must comply with the
18 applicable requirements of the Internal Revenue Code.
19 (4) A DROP participant who is involuntarily discharged
20 who seeks review of such discharge shall not be entitled to
21 receipt of pension benefits or benefits accumulation while in
22 the DROP until it has been determined that the discharge was
23 lawful, or at the expiration of DROP participation provided in
24 subparagraph 26(A)(1), whichever is first.
25 (5) The accumulated benefits of any DROP participant,
26 including any interest thereon, shall not be subject to
27 assignment, garnishment, execution, attachment, or to any
28 legal process whatsoever, except income deduction orders as
29 provided in section 61.1301, Florida Statutes, and federal
30 income tax levies.
31
10
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 (6) Upon termination from employment with the City as
2 a firefighter or police officer in the fire department or
3 police department, respectively, the monthly pension
4 installments pursuant to Section 7 and the cost of living
5 adjustments pursuant to Section 23, shall be paid to the
6 member, and upon death of the member, monthly pension
7 installments shall be paid pursuant to Section 9 with cost of
8 living adjustments pursuant to Section 23.
9 (F) Conflict of Laws.--To the extent that any
10 provision of this section is in conflict with sections
11 112.60-112.67, Florida Statutes, or those provisions of
12 chapters 175 and 185, Florida Statutes, that apply to local
13 law plans established by municipal ordinance or special act,
14 or provisions of Florida Statutes made applicable to pension
15 funds established by special act, or to the extent that any
16 provision of this section would result in the loss of tax
17 exempt status of the Pension Fund, the Board of Trustees is
18 hereby delegated the authority to adopt by rule changes to
19 this section in order to comply with said laws, which shall
20 have the force of law and shall be considered part of this
21 pension contract.
22 (G) Administration of Program.--The Board of Trustees
23 shall make such rules as are necessary for the effective and
24 efficient administration of this section, provided that such
25 rules are not inconsistent with the terms of any collective
26 bargaining agreement entered into by the City and the
27 certified bargaining agents for firefighters and police
28 officers concerning the DROP. The Board of Trustees shall not
29 be required to advise members of the federal tax consequences
30 of an election related to the DROP but may advise members to
31 seek independent advice. Notwithstanding any other provision
11
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 of this section to the contrary, any provision of this section
2 shall be construed and administered in such manner that such
3 program will qualify as a qualified governmental pension plan
4 under existing or hereafter enacted provisions of the Internal
5 Revenue Code of the United States, and the Board of Trustees
6 may adopt any rule necessary to accomplish the purpose of this
7 section as is necessary to retain tax qualification, which
8 rule shall have the force of law and shall be considered part
9 of this pension contract.
10 Section 5. The City of Tampa is authorized and
11 empowered to enter into a supplemental contract with each and
12 every firefighter or police officer who was an active or
13 contributing member of the City Pension Fund for Firefighters
14 and Police Officers in the City of Tampa on or after the date
15 this act becomes a law, or who may hereafter enter into a
16 pension contract with the City, creating Section 27 of the
17 City of Tampa Firefighters and Police Officers Pension
18 Contract to read:
19 Section 27. 13TH CHECK PROGRAM.--Notwithstanding any
20 other provisions of this contract, and subject to the
21 provisions of this section, the 13th Check Program is a
22 program which authorizes the Board of Trustees to establish
23 and make a supplemental pension distribution commencing in
24 January 1999, and in January of each year thereafter, pursuant
25 to the following terms and conditions:
26 (A) Eligibility.--The following persons shall be
27 eligible for the supplemental pension distribution payable in
28 January of each year:
29 (1) All retired members who have terminated employment
30 as a firefighter or police officer in the fire department or
31 police department, respectively, who, on the October 1
12
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 immediately preceding the January in which distributions are
2 to be made, were eligible to receive pension benefits for at
3 least 1 year. For purposes of this section only, a DROP
4 participant shall be considered a retired member and, during
5 the DROP calculation period, a DROP participant shall be
6 eligible for the 13th check benefit, provided that, on the
7 October 1 immediately preceding the January in which
8 distributions are to be made, such DROP participant had
9 participated in the DROP for at least 1 year;
10 (2) All qualifying spouses who were eligible to
11 receive pension benefits pursuant to Section 8 or Section 9
12 for at least 1 year on the October 1 immediately preceding the
13 January in which distributions are to be made; and
14 (3) All qualifying surviving spouses, who on the
15 October 1 immediately preceding the January in which
16 distributions are to be made, were eligible for receipt of
17 Section 8 or Section 9 benefits but who have not received such
18 pension benefits for at least 1 year provided that the
19 deceased member was eligible for receipt of pension benefits
20 on October 1 of the prior year.
21 (B) 13th Check Account.--
22 (1) There is hereby created a 13th check account
23 within the Fund, which shall consist of those employees'
24 contributions set forth in subparagraph 27(B)(2) and the
25 City's contributions set forth in subparagraph 27(B)(3) in
26 excess of those contributions otherwise required by Section 2
27 for the normal annual cost of benefits, other than benefits
28 arising from post retirement adjustments made pursuant to
29 Section 23 and other than benefits arising from the 13th Check
30 Program, plus any interest earnings thereon.
31
13
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 (2) Notwithstanding any other provision of this
2 contract, commencing October 1, 1998, employees covered under
3 this contract shall continue to contribute pursuant to Section
4 2 at the rates required for employees to fund the normal
5 annual cost of benefits, other than benefits arising from post
6 retirement adjustments made pursuant to Section 23 and other
7 than benefits arising from the 13th check program made
8 pursuant to this section, plus an additional 100 percent of
9 9.874 percent of the full scale contribution rate (FSCR) set
10 forth in Section 2(D) to the 13th check program.
11 (3) Notwithstanding any other provision of this
12 contract, the City shall contribute:
13 (a) An amount required to fund the normal annual cost
14 of benefits, other than benefits arising from post-retirement
15 adjustments made pursuant to Section 23 and other than
16 benefits arising from the 13th check program made pursuant to
17 this section, plus;
18 (b) Commencing October 1, 2001, to the 13th check
19 program, 134 percent of 9.874 percent of the full scale
20 contribution rate (FSCR) for employees set forth in Section
21 2(D); provided, however, if the sum of the City's contribution
22 for the normal annual cost of benefits plus the 134 percent of
23 9.874 percent of the full scale contribution rate (FSCR) is
24 greater than 134 percent of 28.789 percent of the full scale
25 contribution rate (FSCR), then the City's contribution to the
26 13th check program shall be the positive difference between
27 134 percent of 28.789 percent of the full scale contribution
28 rate (FSCR) and the amount set forth in subparagraph
29 27(B)(3)(a) [134 percent of the normal annual cost of benefits
30 of the full scale contribution rate (FSCR) for employees set
31
14
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 forth in Section 2(D)], but no less than 134 percent of 3
2 percent of the full scale contribution rate (FSCR).
3 (4) Notwithstanding any other provision of this
4 contract, the City's contributions to the 13th check program
5 shall not require the City to make additional contributions to
6 the 13th check program to reimburse the 13th check account for
7 the contributions the City would have otherwise made to the
8 13th check program had it contributed thereto for the period
9 of October 1, 1998, through September 30, 2001.
10 (C) Amount of the 13th Check.--The amount of the 13th
11 check shall be determined as follows:
12 (1)(a) The amount of the 13th check shall be the same
13 for all retired members, regardless of years of service, age,
14 years retired, or monthly installment.
15 (b) All eligible surviving spouses shall be entitled
16 to 50 percent of what the eligible retired member would have
17 received but for death.
18 (c) If a retired member is eligible on October 1 but
19 dies before payment of the 13th check in the following
20 January, the retired member's spouse shall receive the full
21 amount of the payment, and if there is no surviving spouse,
22 the retired member's designated beneficiary or beneficiaries,
23 or if none, the retired member's estate shall receive the
24 payment.
25 (2) The Board of Trustees shall establish by rule
26 adopted no later than December 15, 1998, the amount of the
27 13th check, subject to the following:
28 (a) The amount of the 13th check, or a method for
29 calculating the amount of the 13th check in a manner that is
30 definitely determinable and in accordance with the
31
15
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 requirements of the Internal Revenue Code applicable to a
2 qualified governmental plan; and
3 (b) Certification by the Fund's actuary that the
4 amount of the payment will be funded on a sound actuarial
5 basis as required by Section 14, Article X of the State
6 Constitution.
7 (D) Conflict of Laws.--To the extent that any
8 provision of this section is in conflict with sections
9 112.60-112.67, Florida Statutes, or those provisions of
10 chapters 175 and 185, Florida Statutes, that apply to local
11 law plans established by municipal ordinance or special act,
12 or provisions of Florida Statutes made applicable to pension
13 funds established by special act, or to the extent that any
14 provision of this section would result in the loss of tax
15 exempt status of the Pension Fund, the Board of Trustees is
16 hereby delegated the authority to adopt by rules changes to
17 this section in order to comply with said laws, which shall
18 have the force of law and shall be considered part of this
19 pension contract.
20 (E) Administration of Program.--The Board of Trustees
21 shall make such rules as are necessary for the effective and
22 efficient administration of this section, provided that such
23 rules are not inconsistent with the terms of any collective
24 bargaining agreement entered into by the City and the
25 certified bargaining agents for firefighters and police
26 officers concerning the 13th Check Program. Notwithstanding
27 any other provision of this section to the contrary, any
28 provision of this section shall be construed and administered
29 in such manner that such program will qualify as a qualified
30 governmental pension plan under existing or hereafter enacted
31 provisions of the Internal Revenue Code of the United States,
16
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 and the Board of Trustees may adopt any rule to accomplish the
2 purpose of this section as is necessary to retain tax
3 qualification, which rules shall have the force of law and
4 shall be considered part of this pension contract.
5 Section 6. The City of Tampa is authorized and
6 empowered to enter into a supplemental contract with each and
7 every firefighter or police officer who was an active or
8 contributing member of the City Pension Fund for Firefighters
9 and Police Officers in the City of Tampa on or after the date
10 this act becomes a law, or who may hereafter enter into a
11 pension contract with the City, amending subparagraphs 2(B)(1)
12 and (4) and 2(D), creating subparagraph 2(K), and amending
13 subsection 23(1) of the City of Tampa Firefighters and Police
14 Officers Pension Contract as prescribed by chapter 94-463,
15 Laws of Florida, to read:
16 Section 2(B)
17 (1) The normal annual cost of the benefits other than
18 benefits arising from post-retirement adjustments made
19 pursuant to Section 23 and other than the 13th check benefits
20 pursuant to Section 27, provided for in this contract; and
21 (4) Provided, however, that in no case shall the
22 contributions by the City in any year, and exclusive of income
23 from other sources, be less than 133 percent, or 134 percent
24 if paid quarterly, of the total sum contributed by employees
25 as provided in (D) below, excluding contributions for the 13th
26 check benefit; it being expressly understood that when the
27 requirements for continued actuarial soundness of the plan are
28 determined to require less contributions than would result
29 hereby, the contributions from the City and employees will be
30 proportionately reduced to rates which will reasonably
31 generate such reduced amount.
17
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 (D) Except as provided by subparagraph 2(B)(4) and
2 subparagraph 27(B)(2), the employees covered under this
3 contract shall contribute at the rates set forth below, based
4 upon all of their earnings during each twelve month period
5 commencing on October 1, which contributions shall be deducted
6 from said earnings before the same are paid and shall be
7 promptly deposited in the Fund:
8 Earnings in Employee
9 Twelve-Month Period Contribution
10 Commencing October 1 Rate
11 First $4,000 6%
12 Next 1,000 7%
13 Next 1,000 8%
14 Next 1,000 9%
15 Next 1,000 10%
16 Next 1,000 11%
17 Next 1,000 12%
18 Next 2,500 15%
19 Excess over $12,500 25%
20
21 If the City's rate of contribution, pursuant to Section 2(B),
22 exceeds 40 percent, the employee contribution scale above
23 shall be increased in the ratio of the City's contribution
24 rate, pursuant to Section 2(B), to 40 percent.
25 (K) Notwithstanding any other provisions of this
26 section, the City and the employees shall make additional
27 contributions to the 13th Check Benefit Program to the extent
28 set forth in Section 27.
29 Section 23.
30 (1) Commencing September 30, 1970, the size of the
31 Fund, excluding the 13th check account, determined on a market
18
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 value basis, shall be compared with the amount that would have
2 been in the Fund, excluding the 13th check account, had the
3 fund, excluding the 13th check account, earned 5 percent,
4 inclusive of realized and unrealized capital gains and losses,
5 compounded annually from October 1, 1969. If on any September
6 30, the actual fund, excluding the 13th check account, exceeds
7 the 5 percent accumulation, the excess will be known as the
8 Post Retirement Adjustment Account, provided that for this
9 purpose the 5 percent accumulation will not be reduced by any
10 post-retirement benefit adjustment payments.
11 Section 7. The City of Tampa is authorized and
12 empowered to enter into a supplemental contract with each and
13 every firefighter or police officer who was an active or
14 contributing member of the City Pension Fund for Firefighters
15 and Police Officers in the City of Tampa on or after the date
16 this act becomes a law, or who may hereafter enter into a
17 pension contract with the City, amending Section 24 of the
18 City of Tampa Firefighters and Police Officers Pension
19 Contract to read:
20 Section 24.
21 (A) In the event that the provisions of the federal
22 Internal Revenue Code operate to limit the benefit amount that
23 the member or the member's survivors would otherwise be
24 eligible to receive pursuant to the City of Tampa Firefighters
25 and Police Officers Pension Contract, then the member or the
26 member's survivors shall not receive from the City Pension
27 Fund for Firefighters and Police Officers in the City of Tampa
28 retirement benefits in an amount in excess of the limits
29 provided by the federal Internal Revenue Code or in an amount
30 that would cause the City Pension Fund for Firefighters and
31
19
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 Police Officers in the City of Tampa to lose its federal
2 income tax exempt status.
3 (B) In order to maintain the tax exempt status of the
4 City Pension Fund for Firefighters and Police Officers in the
5 City of Tampa, said pension fund shall not be required to pay
6 benefits in excess of the appropriate limits established by
7 Section 415 of the Internal Revenue Code (26 USC Section 415),
8 nor shall said pension fund be required to pay any benefits
9 which would jeopardize its tax exempt status.
10 (C) Should the benefits otherwise payable pursuant to
11 the City of Tampa Firefighters and Police Officers Pension
12 Contract by the City Pension Fund for Firefighters and Police
13 Officers in the City of Tampa be limited pursuant to Section
14 415 of the Internal Revenue Code, then the City of Tampa shall
15 provide for payment of those benefits in excess of the limits
16 in Section 415 of the Internal Revenue Code.
17 (D) Notwithstanding any other provision of this
18 pension contract to the contrary, any provision of this
19 pension contract shall be construed and administered in such
20 manner that this Pension Fund will qualify as a qualified
21 governmental pension plan under existing or hereafter enacted
22 provisions of the Internal Revenue Code of the United States,
23 and the Board of Trustees may adopt any rule necessary to
24 retain tax qualification, which rules shall have the force of
25 law and shall be considered part of this pension contract.
26 Section 8. If the City of Tampa enters into
27 supplemental pension contracts as provided in Section 5 of
28 this act, each retired firefighter and retired police officer
29 who is living on the date this act becomes a law and each
30 qualifying surviving spouse, who is living on the date this
31 act becomes a law, is entitled to receive the same benefits
20
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 from the 13th check account upon the same basis as if the
2 member's contract had been supplemented in the manner provided
3 by Section 5 of this act before the member's separation from
4 service; provided however said retired firefighter, retired
5 police officer and eligible surviving spouse as a condition of
6 participation in the 13th check program shall be subject to
7 the provisions of Section 24 of the pension contract as
8 provided for in Section 7.
9 Section 9. The City of Tampa Firefighters and Police
10 Officers Pension Contract as prescribed by Section 28-17 of
11 the City of Tampa Code [Ordinance No. 4746-A, enacted
12 September 30, 1969], as amended by Section 28-19 of the City
13 of Tampa Code [Ordinance No. 6038-A, enacted September 17,
14 1974], pursuant to chapter 74-613, Laws of Florida; as further
15 amended by Ordinance No. 89-314, enacted December 21, 1989,
16 and approved, ratified, validated, and confirmed by chapter
17 90-391, Laws of Florida; and as further amended by chapter
18 94-463, Laws of Florida, is in all other respects approved,
19 ratified, validated, and confirmed.
20 Section 10. The benefits provided for herein by
21 Sections 1, 3, 4, and 5 and the changes to the pension
22 contract provided for herein by Sections 1, 3, 4, 5, 6, and 7
23 for active and contributing members on the date this act
24 becomes a law shall be made available in one supplemental
25 pension contract, and a member shall not be permitted to
26 select some of said benefits and reject others of said
27 benefits. Any active or contributing member on the date this
28 act becomes a law who fails to sign said supplemental pension
29 contract before October 1, 1998, or within 90 days of
30 ratification of any respective collective bargaining
31 agreement, whichever is later, shall be forever barred from
21
CODING: Words stricken are deletions; words underlined are additions.
ENROLLED
1998 Legislature HB 4307, First Engrossed
1 receiving said benefits and shall not be required to make any
2 contributions required as a result of such benefits. However,
3 any person who becomes a member of the City Pension Fund for
4 Firefighters and Police Officers in the City of Tampa on or
5 after the date this act becomes a law, shall be required as a
6 condition of membership into said pension fund to sign a
7 pension contract which includes the provisions of Sections 1,
8 3, 4, 5, 6, and 7, and shall be required to make the
9 contributions required as a result of such benefits.
10 Section 11. This act is only an enabling act, and the
11 execution by the City of Tampa of the aforesaid supplemental
12 contract and entitlement to the pension benefits referred to
13 in Sections 1, 3, 4, and 5 for all firefighters regardless of
14 whether or not in the certified bargaining unit is contingent
15 upon contractual agreement through the collective bargaining
16 process between the City of Tampa and the certified bargaining
17 agent for firefighters and for all police officers regardless
18 of whether or not in the certified bargaining unit is
19 contingent upon contractual agreement through the collective
20 bargaining process between the City of Tampa and the certified
21 bargaining agent for police officers.
22 Section 12. Notwithstanding the provisions of Section
23 5, the initial distribution of the 13th check shall be payable
24 within 30 days of receipt of a favorable determination letter
25 from the Internal Revenue Service that the 13th check program
26 does not adversely impact the tax qualification of the plan,
27 but no earlier than January 1999.
28 Section 13. This act shall take effect upon becoming a
29 law.
30
31
22