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House Bill 0905c1

Florida House of Representatives - 1997 CS/HB 905 By the Committee on Governmental Operations and Representatives Crady and Fasano 1 A bill to be entitled 2 An act relating to retirement; amending s. 3 121.011, F.S.; providing for purchase of 4 retirement credit under the Florida Retirement 5 System following reinstatement after suspension 6 or dismissal under certain circumstances; 7 amending s. 121.021, F.S.; defining the term 8 "phased retirement program"; amending s. 9 121.051, F.S.; revising language with respect 10 to optional participation in the system; 11 amending s. 121.052, F.S.; authorizing certain 12 elected officers to opt for membership in the 13 Senior Management Class under certain 14 circumstances; clarifying provisions relating 15 to the purchase of retirement credit for 16 upgraded service by certain elected officers 17 and former elected officers; amending s. 18 121.053, F.S.; allowing Senior Management 19 Service Class renewed membership service to be 20 used by members with renewed membership in the 21 Elected State and County Officers' Class; 22 amending s. 121.055, F.S.; allowing certain 23 elected officers to participate in the Senior 24 Management Service Optional Annuity Program 25 under certain conditions; providing for payment 26 only as a lifetime annuity; providing 27 exceptions; providing for State Board of 28 Administration review of investment products; 29 providing for payment of certain creditable 30 service; providing for future repeal; 31 authorizing local agency employers to reassess 1 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 designation of positions for inclusion in the 2 Senior Management Service Class; providing for 3 removal of certain positions; amending s. 4 121.091, F.S.; providing for forfeiture of 5 benefits for a beneficiary who intentionally 6 killed or procured the death of the member; 7 clarifying the effective date of a joint 8 annuitant change; amending s. 121.1115, F.S.; 9 authorizing the purchase of retirement credit 10 for certain out-of-state service; creating s. 11 121.1120, F.S.; providing for the purchase of 12 retirement credit for certain in-state service; 13 amending s. 121.121, F.S.; providing for 14 authorized leave of absence credit after 1 15 month on an employer's payroll; amending s. 16 121.122, F.S.; providing for the enrollment of 17 certain members in the Senior Management 18 Service Class; amending s. 121.23, F.S.; 19 providing for reasonable attorney's fees for 20 disability retirement orders issued by the 21 State Retirement Commission under certain 22 circumstances; amending s. 121.35, F.S.; 23 providing that certain employees who are 24 eligible to participate in the Optional 25 Retirement Program shall become members of the 26 Regular Class of the Florida Retirement System 27 under certain circumstances; providing that 28 contributions accumulated in the Florida 29 Retirement Trust Fund for certain members be 30 applied towards retroactive membership in the 31 Regular Class; limiting employee contributions 2 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 in the Optional Retirement Program; providing 2 that benefits in the Optional Retirement 3 Program shall be paid only as a lifetime 4 annuity; providing exceptions; providing for 5 State Board of Administration review of 6 investment products; repealing chapter 123, 7 F.S., relating to the retirement system for 8 Supreme Court justices, District Courts of 9 Appeals judges, and Circuit judges; providing 10 for rules; providing an appropriation; 11 providing a legislative finding of important 12 state interest; providing effective dates. 13 14 Be It Enacted by the Legislature of the State of Florida: 15 16 Section 1. Paragraph (e) of subsection (3) of section 17 121.011, Florida Statutes, is amended, and paragraph (g) is 18 added to said subsection, to read: 19 121.011 Florida Retirement System.-- 20 (3) PRESERVATION OF RIGHTS.-- 21 (e) Any member of the Florida Retirement System or any 22 member of an existing system under this chapter on July 1, 23 1975, who is not retired and who is, has been, or shall be, 24 suspended and reinstated without compensation shall receive 25 retirement service credit for the period of time from the date 26 of suspension to the date of reinstatement, provided: 27 1. The creditable service claimed for the period of 28 suspension does not exceed 24 months. 29 2. The member returns to active employment and remains 30 on the employer's payroll for at least 30 calendar days. 31 3 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 3. upon The member pays paying into the Retirement 2 System Trust Fund the total required cost of providing said 3 retirement credit. The cost to the member shall be the total 4 employer contributions plus the total employee contributions, 5 if applicable, based on the member's monthly compensation in 6 effect paid to the Retirement Trust Fund for the pay period 7 immediately preceding the period of suspension, prorated for 8 the said period of suspension, plus interest thereon at a rate 9 of 4 percent per annum compounded annually until July 1, 1975, 10 and 6.5 percent interest thereafter until paid. 11 12 If permitted by federal law, the member may pay into the 13 Social Security Trust Fund the total cost, if any, of 14 providing social security coverage for the period of 15 suspension if any social security payments have been made by 16 the employer for the benefit of the member during such period. 17 Should there be any conflict as to payment for social security 18 coverage, the payment for retirement service credit shall be 19 made and retirement service credit granted regardless of such 20 conflict. 21 (g) Any member of the Florida Retirement System or any 22 member of an existing system under this chapter who is not 23 retired and who is, has been, or shall be, dismissed from 24 employment shall be considered terminated from active 25 membership in such system. 26 1. In the event such dismissal is rescinded by proper 27 authority or through legal proceedings, the member shall be 28 eligible to receive retirement service credit for such period 29 of dismissal provided: 30 a. The dismissal action taken against the member is 31 determined to be incorrect and is negated, the employee is 4 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 made whole for the period of the dismissal or any portion 2 thereof, employment is reinstated. 3 b. The employer pays into the Retirement System Trust 4 Fund the total required employer contributions for the period 5 for which the employee is made whole, plus interest at 6.5 6 percent compounded annually until full payment is made. The 7 employee shall pay the total employee contributions, plus 8 interest, if applicable. 9 2. In the event the dismissal action is subsequently 10 changed to a suspension by proper authority or through legal 11 proceedings, the member shall be eligible to receive 12 retirement service credit provided the member's employment is 13 reinstated, restoring the employee-employer relationship, and 14 the employee pays the total required employer and employee 15 contributions and complies with all requirements in paragraph 16 (e). 17 Section 2. Subsection (43) is added to section 18 121.021, Florida Statutes, 1996 Supplement, to read: 19 121.021 Definitions.--The following words and phrases 20 as used in this chapter have the respective meanings set forth 21 unless a different meaning is plainly required by the context: 22 (43) "Phased retirement program" means a program 23 contracted by the governing board of a university or community 24 college participating under this chapter in which retirees may 25 be reemployed in faculty positions provided: 26 (a) The member retired and met the definition of 27 termination under this section. 28 (b) The retired member is reemployed for not more than 29 780 hours during the first 12 months of his retirement. 30 (c) The retired member is reemployed with the 31 university or community college from which he or she retired. 5 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 2 Renewed membership for a retiree participating in a phased 3 retirement program shall be determined in accordance with s. 4 121.122 or 121.053. 5 Section 3. Paragraph (e) of subsection (2) of section 6 121.051, Florida Statutes, 1996 Supplement, is amended to 7 read: 8 121.051 Participation in the system.-- 9 (2) OPTIONAL PARTICIPATION.-- 10 (e) Notwithstanding any other provision of this 11 chapter to the contrary, any independent participating agency 12 that has failed to report the employees of a dependent 13 governmental entity within its jurisdiction for membership in 14 the Florida Retirement System as required under this chapter 15 shall enroll in the system, effective July 1, 1996, all 16 employees filling a regularly established position who are not 17 currently participating in a retirement plan provided by the 18 dependent entity. the Employees of the dependent entity 19 participating in such a retirement plan on July 1, 1996, may 20 remain in that plan or participate in the Florida Retirement 21 System and shall make such election in writing into the system 22 effective July 1, 1996. The eligible employees of the 23 dependent entity shall be compulsory members of the Florida 24 Retirement System as of that date. Such employees are eligible 25 to claim past service as provided in s. 121.081. All eligible 26 employees hired on or after July 1, 1996, by any such 27 dependent entity shall be compulsory members of the Florida 28 Retirement System. Any independent participating agency shall 29 be responsible for identifying all such dependent governmental 30 entities within its jurisdiction and for providing to the 31 6 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 division a list of all employees of such entities as of July 2 1, 1997. 3 Section 4. Subsections (3) and (5) of section 121.052, 4 Florida Statutes, 1996 Supplement, are amended to read: 5 121.052 Membership class of elected state and county 6 officers.-- 7 (3) PARTICIPATION AND WITHDRAWAL, 8 GENERALLY.--Effective July 1, 1990, participation in the 9 Elected State and County Officers' Class shall be compulsory 10 for elected officers listed in paragraphs (2)(a)-(d) assuming 11 office on or after said date, unless the elected officer 12 elects membership in another class or withdraws from the 13 Florida Retirement System as follows: 14 (a) Any elected officer who is or becomes dually 15 employed and a member of the Florida Retirement System or one 16 of the existing systems may elect membership in any system or 17 class for which he or she is eligible. Upon becoming dually 18 employed, the elected officer shall have a period of 6 months 19 to notify the administrator of his or her decision, as 20 provided in subsection (6). 21 (b) Upon assuming office, any sheriff shall have a 22 period of 6 months to notify the administrator of his or her 23 decision to remain or elect membership in the Special Risk 24 Class in lieu of membership in the Elected State and County 25 Officers' Class. 26 (c) Any elected officer may, within 6 months of 27 assuming office, or within 6 months of this act becoming law 28 for serving elected officers, elect membership in the Senior 29 Management Service Class as provided in s. 121.055 in lieu of 30 membership in the Elected State and County Officers' Class. 31 Any such election made by a county elected officer shall have 7 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 no effect upon the statutory limit on the number of 2 nonelective full-time positions which may be designated by a 3 local agency employer for inclusion in the Senior Management 4 Service Class under s. 121.055(1)(b)1. 5 (d)(c)1. Any elected officer may elect to withdraw 6 from participating in the Florida Retirement System in any 7 manner whatsoever. Upon assuming office, the member shall have 8 a period of 6 months to notify the administrator of his or her 9 decision to withdraw from the Florida Retirement System 10 altogether. Such election shall be made in writing and a copy 11 shall be filed with the employer. 12 2. Upon receipt of a request from an elected officer 13 to withdraw from the Florida Retirement System pursuant to 14 subparagraph 1., the administrator shall refund all moneys 15 contributed by the elected officer to the system during the 16 period of participation in the system, unless the elected 17 officer has a vested right under the Florida Retirement 18 System, in which case he or she shall not receive a refund of 19 contributions. 20 3. Any elected officer who has withdrawn from the 21 Florida Retirement System pursuant to this paragraph shall be 22 permitted to rejoin the Elected State and County Officers' 23 Class upon written request to the administrator. 24 a. Credit for prior service based on the period for 25 which refunds were received pursuant to subparagraph 2. shall 26 be received by an elected officer who rejoins the system upon 27 payment to the System Trust Fund of an amount equal to the 28 contributions refunded to the elected officer pursuant to 29 subparagraph 2., plus 4 percent interest compounded annually 30 from the date of refund until July 1, 1975, and 6.5 percent 31 8 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 interest, compounded annually thereafter until the date of 2 payment. 3 b. Credit for prior service based on the period during 4 which the elected officer had withdrawn from the system, and 5 for which no contributions were made, shall be received by the 6 elected officer upon payment to the System Trust Fund of an 7 amount equal to the contributions required, under the 8 contribution rate in effect during the period of withdrawal 9 for which credit is being purchased, plus 6.5 percent 10 interest, compounded annually until the date of payment. The 11 payment of the total of such amount shall be made by the 12 employer and the elected officer in the relative proportions 13 provided by law for contributions during the period of 14 withdrawal. 15 16 Failure to timely withdraw from the Elected State and County 17 Officers' Class shall constitute an election to maintain 18 membership in the Elected State and County Officers' Class. 19 (5) UPGRADED SERVICE; PURCHASE OF ADDITIONAL CREDIT.-- 20 (a) As provided in paragraph (b), and subject to the 21 provisions of subsection (6), if applicable, a current or 22 former member of the Elected State and County Officers' Class 23 an elected officer, or former elected officer who held office 24 after his subclass of the Elected State and County Officers' 25 Class was established, and who opted for membership in a 26 membership class of the Florida Retirement System other than 27 the Elected State and County Officers' Class as described in 28 subparagraph (b)2., may purchase at his or her own expense 29 additional retirement credit in the Elected State and County 30 Officers' Class for all creditable service as an officer 31 within the purview of this class, and such other creditable 9 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 service as authorized hereunder for which he or she has 2 accumulated credit in the retirement system or class within 3 the Florida Retirement System from which he or she transfers. 4 Any member of the Elected State and County Officers' Class may 5 purchase additional retirement credit for service prior to 6 January 1, 1973, as a county solicitor, elected county 7 prosecuting attorney, county judge, judge of a court of 8 record, judge of a criminal or civil court of record, judge of 9 any metropolitan court established pursuant to s. 6, Art. VIII 10 of the State Constitution, judge of a small claims court, or 11 justice of the peace, or for service as a county court judge 12 from January 1, 1973, to October 1, 1974. 13 (b) To receive additional retirement credit for 14 service within the purview of the Elected State and County 15 Officers' Class as provided authorized in paragraph (a), such 16 member: 17 1. A serving elected officer shall pay a sum equal to 18 the difference between the amounts derived under subparagraphs 19 1. and 2. sub-subparagraphs a. and b.: 20 1.a. The total employee and employer contributions 21 actually paid, based on the actual gross salary received and 22 the contribution rates in effect for the period of his or her 23 tenure in office; and 24 2.b. The total contributions which would have been 25 required at the time the service was rendered for the subclass 26 of elected state officers' service being purchased, based on 27 the actual gross salary received or on a gross salary of 28 $1,000 per month, whichever is greater, multiplied by the 29 contribution rates required, as follows: 30 31 10 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 a.(I) The contribution rates in effect at the time the 2 service was rendered for the subclass of elected state 3 officers' service being purchased; or 4 b.(II) The contribution rates in effect on July 1, 5 1972, for such service rendered before July 1, 1972, by an 6 elected officer who held an elective office included within 7 the Elected State Officers' Class upon its creation; or 8 c.(III) The contribution rates in effect for the 9 appropriate subclass on the date of inclusion of the elective 10 office within the Elected State and County Officers' Class, as 11 set forth in subsection (2); or 12 d.(IV) For service as an elected county officer before 13 July 1, 1981, the contribution rate applicable for the 14 legislative subclass of the Elected State Officers' Class, 15 16 plus interest thereon at the rate of 4 percent per year 17 compounded annually each June 30 from the date of such service 18 until July 1, 1975, and at the rate of 6.5 percent per year 19 thereafter until the date of payment. 20 2. A former elected officer who held office after his 21 or her subclass of the Elected State and County Officers' 22 Class was established, and who opted for membership in another 23 membership class of the Florida Retirement System rather than 24 the Elected State and County Officers' Class, shall pay a sum 25 equal to the difference between the amounts derived under 26 sub-subparagraphs a. and b.: 27 a. The total employee and employer contributions 28 actually paid, based on the actual gross salary received and 29 the contribution rates in effect for the period of his or her 30 tenure in office within the purview of the class; and 31 11 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 b. The total contributions which would have been 2 required at the time the service was rendered for the subclass 3 of elected state officers' service being purchased, based on 4 the actual gross salary received or on a gross salary of 5 $1,000 per month, whichever is greater, multiplied by the 6 contribution rates required, as follows: 7 (I) The contribution rates in effect at the time the 8 service was rendered for the subclass of elected state or 9 county officers' service being purchased; or 10 (II) The contribution rates in effect on July 1, 1972, 11 for such service rendered before July 1, 1972, by an elected 12 officer who held an elective office included within the 13 Elected State Officers' Class upon its creation; or 14 (III) The contribution rates in effect for the 15 appropriate subclass on the date of inclusion of the elective 16 office within the Elected State and County Officers' Class, as 17 set forth in subsection (2); or 18 (IV) For service as an elected county officer before 19 July 1, 1981, the contribution rate applicable for the 20 legislative subclass of the Elected State Officers' Class, 21 22 plus interest thereon at the rate of 4 percent per year 23 compounded annually each June 30 from the date of such service 24 until July 1, 1975, and at the rate of 6.5 percent per year 25 thereafter until the date of payment. 26 (c) Notwithstanding any provision of this subsection 27 to the contrary, a current or former member of the Elected 28 State and County Officers' Class, or a former an elected state 29 officer as described in paragraph (a), may elect to claim who 30 purchases additional retirement credit in the Elected State 31 and County Officers' Class pursuant to paragraph (a) upon 12 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 payment of the required during the period from January 1, 2 1991, to June 30, 1991, shall be required to pay one-half the 3 contributions and interest due the Florida Retirement System 4 Trust Fund, and an equal amount shall be paid by the employer. 5 The current or former employer of such officer may elect to 6 pay any portion of the total required employee and employer 7 contributions and interest due on behalf of such member, 8 provided such payment is made prior to January 1, 1998. No 9 contributions shall be paid by the employer on behalf of any 10 elected state officer who purchases such retirement credit 11 after June 30, 1991. 12 Section 5. Paragraph (b) of subsection (1) of section 13 121.053, Florida Statutes, is amended to read: 14 121.053 Participation in the Elected State and County 15 Officers' Class for retired members.-- 16 (1) 17 (b) Any retired member of the Florida Retirement 18 System, or any existing system as defined in s. 121.021(2), 19 who, on or after July 1, 1990, is serving in, or is elected or 20 appointed to, an elective office covered by the Elected State 21 and County Officers' Class shall be enrolled in the 22 appropriate subclass of the Elected State and County Officers' 23 Class of the Florida Retirement System, and applicable 24 contributions shall be paid into the Florida Retirement System 25 Trust Fund as provided in s. 121.052(7). Pursuant thereto: 26 1. Any such retired member shall be eligible to 27 continue to receive retirement benefits as well as 28 compensation for the elected officer service for as long as he 29 or she remains in an elective office covered by the Elected 30 State and County Officers' Class. 31 13 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 2. If any such member serves in an elective office 2 covered by the Elected State and County Officers' Class for a 3 period of at least 8 years, he or she shall be entitled to 4 receive an additional retirement benefit for such elected 5 officer service. 6 3. Such member shall be entitled to purchase 7 additional retirement credit in the Elected State and County 8 Officers' Class for any postretirement service performed in an 9 elected position eligible for the Elected State and County 10 Officers' Class prior to July 1, 1990, or in the Regular Class 11 for any postretirement service performed in any other 12 regularly established position prior to July 1, 1991, by 13 paying the applicable Elected State and County Officers' Class 14 or Regular Class employee and employer contributions for the 15 period being claimed, plus 4 percent interest compounded 16 annually from the first year of service claimed until July 1, 17 1975, and 6.5 percent interest compounded thereafter, until 18 full payment is made to the Florida Retirement System Trust 19 Fund. The contribution for postretirement Regular Class 20 service between July 1, 1985, and July 1, 1991, for which the 21 reemployed retiree contribution was paid, shall be the 22 difference between such contribution and the total applicable 23 contribution for the period being claimed, plus interest. The 24 employer of such member may pay the applicable employer 25 contribution in lieu of the member. 26 4. No creditable service for which credit was 27 received, or which remained unclaimed, at retirement may be 28 claimed or applied toward service credit earned following 29 renewed membership. However, service earned in accordance with 30 the renewed membership provisions for the Regular Class in s. 31 121.122 may be used in conjunction with creditable service 14 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 earned under this paragraph, provided applicable vesting 2 requirements and other existing statutory conditions required 3 by this chapter are met. 4 Section 6. Paragraphs (f), (g), and (h) of subsection 5 (1) of section 121.055, Florida Statutes, 1996 Supplement, are 6 redesignated as paragraphs (g), (h), and (i), respectively, 7 and a new paragraph (f) is added to said subsection, and 8 subsection (2) and paragraphs (e) and (f) of subsection (6), 9 are amended to read: 10 121.055 Senior Management Service Class.--There is 11 hereby established a separate class of membership within the 12 Florida Retirement System to be known as the "Senior 13 Management Service Class," which shall become effective 14 February 1, 1987. 15 (1) 16 (f) Effective July 1, 1997: 17 1. Any elected state officer eligible for membership 18 in the Elected State and County Officers' Class under s. 19 121.052(2)(a), (b), or (c) who elects membership in the Senior 20 Management Service Class under s. 121.052(3)(c) may, within 6 21 months of assuming office or within 6 months of this act 22 becoming law for serving elected state officers, elect to 23 participate in the Senior Management Service Optional Annuity 24 Program, as provided in subsection (6), in lieu of membership 25 in the Senior Management Service Class. 26 2. Any elected county officer eligible for membership 27 in the Elected State and County Officers' Class under s. 28 121.052(2)(d) who elects membership in the Senior Management 29 Service Class under s. 121.052(3)(c) may, within 6 months of 30 assuming office, or within 6 months of this act becoming law 31 for serving elected county officers, elect to participate in a 15 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 lifetime monthly annuity program, as provided in subparagraph 2 (1)(b)2., in lieu of membership in the Senior Management 3 Service Class. 4 (2)(a) Participation in this class shall cease when 5 the member terminates employment in an eligible position. 6 Once a position is designated as eligible for inclusion in the 7 class, that position shall not be removed from the class 8 unless the duties and responsibilities of the position change 9 substantially and therefore no longer meet the requirements 10 provided in this section for participation in the class, 11 except as provided in paragraph (b). 12 (b) Effective July 1, 1997, each local agency employer 13 may, between July 1, 1997, and December 31, 1997, reassess its 14 designation of positions for inclusion in the Senior 15 Management Service Class as provided in paragraph (b) of 16 subsection (1), and may request removal from the class of any 17 such positions that it deems appropriate. Such removal of any 18 previously designated positions shall be effective on the 19 first day of the month following written notification of 20 removal to the division prior to January 1, 1998. 21 (6) 22 (e)1. Benefits shall be payable under the Senior 23 Management Service Optional Annuity Program only to 24 participants in the program or their beneficiaries, and such 25 benefits shall be paid by the designated company in accordance 26 with the terms of the annuity contract or contracts applicable 27 to the participant. Benefits funded by employer contributions 28 shall be payable only as a lifetime annuity to the 29 participant, his beneficiary, or estate, except for: 30 a. A lump sum payment to the beneficiary upon the 31 death of the participant; or 16 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 b. A cash-out of a de minimis account upon the request 2 of a former participant who has been terminated for a minimum 3 of 6 months from the employment that entitled him to Optional 4 Retirement Program participation. A de minimis account is an 5 account with a provider company containing employer 6 contributions and accumulated earnings of not more than $3,500 7 made under the provisions of this chapter. Such cash-out must 8 be a complete liquidation of the account balance with that 9 company and shall be subject to the provisions of the Internal 10 Revenue Code. 11 2. The benefits payable to any person under the Senior 12 Management Service Optional Annuity Program, and any 13 contribution accumulated under such program, shall not be 14 subject to assignment, execution, or attachment or to any 15 legal process whatsoever. 16 (f)1. The Senior Management Service Optional Annuity 17 Program authorized by this section shall be administered by 18 the Division of Retirement. The division shall designate one 19 or more provider companies from which annuity contracts may be 20 purchased under the program and shall approve the form and 21 content of the contracts. 22 2. Effective July 1, 1997, the State Board of 23 Administration shall review and make recommendations to the 24 division on the acceptability of all investment products 25 proposed by provider companies of the optional annuity program 26 before such products are offered through annuity contracts to 27 the participants, and may advise the division of any changes 28 deemed necessary to ensure that the optional annuity program 29 offers an acceptable mix of investment products. The division 30 shall make the final determination as to whether an investment 31 product will be approved for the program. 17 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 3.2. The provisions of each contract applicable to a 2 participant in the Senior Management Service Optional Annuity 3 Program shall be contained in a written program description 4 which shall include a report of pertinent financial and 5 actuarial information on the solvency and actuarial soundness 6 of the program and the benefits applicable to the participant. 7 Such description shall be furnished by the company or 8 companies to each participant in the program and to the 9 division upon commencement of participation in the program and 10 annually thereafter. 11 4.3. The division shall ensure that each participant 12 in the Senior Management Service Optional Annuity Program is 13 provided an accounting of the total contribution and the 14 annual contribution made by and on behalf of such 15 participants. 16 Section 7. The current or former employer of the 17 member claiming service credit as provided in s. 18 121.052(5)(c), may elect to pay any portion of the required 19 contributions provided such payment is made prior to January 20 1, 1998. This section is repealed effective January 1, 1998. 21 Section 8. Paragraph (i) is added to subsection (5) of 22 section 121.091, Florida Statutes, 1996 Supplement, and 23 paragraph (d) of subsection (6) is amended, to read: 24 121.091 Benefits payable under the system.--No 25 benefits shall be paid under this section unless the member 26 has terminated employment as provided in s. 121.021(39) and a 27 proper application has been filed in the manner prescribed by 28 the division. 29 (5) TERMINATION BENEFITS.-- 30 (i) Any beneficiary who is found guilty by a verdict 31 of a jury, or by the court trying the case without a jury, or 18 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 who has entered a plea of guilty or of nolo contendere, of 2 unlawfully and intentionally killing or procuring the death of 3 the member, shall forfeit all rights to the deceased member's 4 benefits under this chapter and the benefits will be paid as 5 if such beneficiary had predeceased the decedent. No benefits 6 shall be paid by the division pending final resolution of such 7 charges against the beneficiary. 8 (6) OPTIONAL FORMS OF RETIREMENT BENEFITS AND 9 DISABILITY RETIREMENT BENEFITS.-- 10 (d) A member who elects the option in subparagraph 11 (a)3. or subparagraph (a)4. shall, on a form provided for that 12 purpose, designate a joint annuitant to receive the benefits 13 which continue to be payable upon the death of the member. 14 After benefits have commenced under the option in subparagraph 15 (a)3. or subparagraph (a)4., a retired member may change his 16 or her designation of a joint annuitant only twice. If such a 17 retired member desires to change his or her designation of a 18 joint annuitant, he or she shall file with the division a 19 notarized "change of joint annuitant" form and shall notify 20 the former joint annuitant in writing of such change. 21 Effective the first day of the next month following Upon 22 receipt by the division of a completed change of joint 23 annuitant form, the division shall adjust the member's monthly 24 benefit by the application of actuarial tables and 25 calculations developed to ensure that the benefit paid is the 26 actuarial equivalent of the present value of the member's 27 current benefit. The consent of a retired member's first 28 designated joint annuitant to any such change shall not be 29 required. However, if the member dies prior to the effective 30 date of the request for change of joint annuitant, the 31 19 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 requested change shall be void and survivor benefits, if any, 2 shall be paid as if no request had been made. 3 Section 9. Section 121.1115, Florida Statutes, 1996 4 Supplement, is amended to read: 5 121.1115 Purchase of retirement credit for 6 out-of-state and federal service.--Effective January 1, 1995, 7 a member of the Florida Retirement System may purchase 8 creditable service for periods of public employment in another 9 state and receive creditable service for such periods of 10 employment. Service with the Federal Government, including 11 any military service, may be claimed. Upon completion of each 12 year of service earned under the Florida Retirement System, a 13 member may purchase up to 1 year of retirement credit for his 14 or her out-of-state service, subject to the following 15 provisions: 16 (1) LIMITATIONS AND CONDITIONS.--To receive credit for 17 the out-of-state service: 18 (a) The out-of-state service being claimed must have 19 been: 20 1. Performed in a position of employment with the 21 state or a political subdivision thereof, or with the Federal 22 Government; 23 2. Covered by a retirement or pension plan provided by 24 the state or political subdivision or by the Federal 25 Government, as appropriate; and 26 3. Performed prior to a period of membership in the 27 Florida Retirement System. 28 (b) The member must have completed a minimum of 10 29 years of creditable service under the Florida Retirement 30 System, excluding out-of-state service and in-state service 31 claimed and purchased under s. 121.1120. 20 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 (c) Not more than 5 years of creditable service may be 2 claimed for creditable service aggregated under the provisions 3 of this section. 4 (d) The out-of-state service credit claimed under this 5 section shall be credited only as service in the Regular Class 6 of membership, and any benefit or pension based thereon shall 7 be subject to the limitations and restrictions of s. 112.65. 8 (e) A member shall be eligible to receive service 9 credit for out-of-state service performed after leaving the 10 Florida Retirement System only upon return to membership and 11 completion of at least 1 year of creditable service in the 12 Florida Retirement System following the out-of-state service. 13 Military service may not be claimed under this section as 14 out-of-state service. 15 (2) COST.--For each year claimed, the member must pay 16 into the System Trust Fund an amount equal to 20 percent of 17 the member's annual compensation for the first full work year 18 of creditable service earned under the Florida Retirement 19 System, but not less than $12,000, plus interest at 6.5 20 percent compounded annually from the date of first annual 21 salary earned until full payment is made. The employer may pay 22 all or a portion of the cost of this service credit. 23 Section 10. Section 121.1120, Florida Statutes, is 24 created to read: 25 121.1120 Purchase of retirement credit for in-state 26 public service and in-state service in accredited nonpublic, 27 nonsectarian schools and colleges, including charter 28 schools.--Effective January 1, 1998, a member of the Florida 29 Retirement System may purchase creditable service for periods 30 of certain public or nonpublic, nonsectarian employment 31 performed in Florida, as provided herein. 21 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 (1) PURCHASE OF RETIREMENT CREDIT AUTHORIZED.--Subject 2 to the provisions of subsections (2) and (3), a member of the 3 Florida Retirement System may purchase up to 5 years of 4 retirement credit for: 5 (a) Periods of public employment in Florida; or 6 (b) Periods of employment in charter schools or in any 7 nonpublic, nonsectarian school or college in Florida that is 8 accredited by the Southern Association of Colleges and 9 Schools. 10 11 Credit for 1 year of such service may be purchased for each 12 year of creditable service a member completes under the 13 Florida Retirement System. 14 (2) LIMITATIONS AND CONDITIONS.-- 15 (a) No member shall be eligible to receive credit for 16 in-state service under this section until he or she has 17 completed 10 years of creditable service under the Florida 18 Retirement System, excluding service purchased under this 19 section and out-of-state service claimed and purchased under 20 s. 121.1115. 21 (b) No member shall be permitted to purchase and 22 receive credit for more than 5 years of creditable service 23 aggregated under the provisions of this section and s. 24 121.1115. 25 (c) Service credit claimed under this section shall be 26 credited only as service in the Regular Class of membership 27 and shall be subject to the provisions of s. 112.65. 28 (d) A member shall be eligible to receive service 29 credit for in-state service performed after leaving the 30 Florida Retirement System only upon returning to membership 31 22 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 and completing at least 1 year of creditable service in the 2 Florida Retirement System following the in-state service. 3 (e) The service claimed must have been service covered 4 by a retirement or pension plan provided by the employer. 5 (3) COST.--The cost to purchase retirement credit 6 under this section shall be calculated in the same manner as 7 set forth in s. 121.1115(2), for purchase of credit for 8 out-of-state service. 9 Section 11. Section 121.121, Florida Statutes, is 10 amended to read: 11 121.121 Future service to include authorized leaves of 12 absence.--Future service of any member as defined in s. 13 121.021(21) shall also include up to 2 work years of 14 creditable service for authorized leaves of absence if: 15 (1) The member has completed a minimum of 10 years of 16 creditable service, excluding periods of leave of absence. 17 (2) The leave of absence is authorized in writing by 18 the employer of the member and approved by the administrator. 19 (3) The member returns to active employment performing 20 service with a Florida Retirement System employer in a 21 regularly established position immediately upon termination of 22 the leave of absence and remains on the employer's payroll for 23 1 calendar month, except that a member who retires on 24 disability while on a medical leave of absence shall not be 25 required to return to employment. 26 (4)(3) The member makes the required contributions for 27 service credit during the leave of absence, which shall be 8 28 percent until January 1, 1975, and 9 percent thereafter of his 29 or her rate of monthly compensation in effect immediately 30 prior to the commencement of such leave for each month of such 31 period, plus 4 percent interest until July 1, 1975, and 6.5 23 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 percent interest thereafter on such contributions, compounded 2 annually each June 30 from the due date of the contribution to 3 date of payment. Effective July 1, 1980, any leave of absence 4 purchased pursuant to this section shall be at the 5 contribution rates specified in s. 121.071 in effect at the 6 time the leave is granted for the class of membership from 7 which the leave of absence was granted; however, any member 8 who purchased leave-of-absence credit prior to July 1, 1980, 9 for a leave of absence from a position in a class other than 10 the regular membership class, may pay the appropriate 11 additional contributions plus compound interest thereon and 12 receive creditable service for such leave of absence in the 13 membership class from which the member was granted the leave 14 of absence. 15 Section 12. Section 121.122, Florida Statutes, is 16 amended to read: 17 121.122 Renewed membership in system.--Except as 18 provided in s. 121.053, effective July 1, 1991, any retiree of 19 a state-administered retirement system who is employed in a 20 regularly established position with a covered employer shall 21 be enrolled as a compulsory member of the Regular Class of the 22 Florida Retirement System, or, effective July 1, 1997, any 23 retiree of a state-administered retirement system who is 24 employed in a position included in the Senior Management 25 Service Class shall be enrolled as a compulsory member of the 26 Senior Management Service Class of the Florida Retirement 27 System as provided in s. 121.055, and shall be entitled to 28 receive an additional retirement benefit, subject to the 29 following conditions: 30 (1)(a) Such member shall resatisfy the age and service 31 requirements as provided in this chapter for initial 24 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 membership under the system, unless such member elects to 2 participate in the Senior Management Service Optional Annuity 3 Program in lieu of the Senior Management Service Class as 4 provided in s. 121.055(6). 5 (b) Such member shall not be entitled to disability 6 benefits as provided in s. 121.091(4). 7 (c) Such member must meet the reemployment after 8 retirement limitations as provided in s. 121.091(9), as 9 applicable. 10 (2) Upon renewed membership, the employer of such 11 member shall pay the applicable employer contributions as 12 required by s. 121.055(3) and s. 121.071(1)(a) and (4). 13 (3) Such member shall be entitled to purchase 14 additional retirement credit in the Regular Class for any 15 postretirement service performed in a regularly established 16 position prior to July 1, 1991, by paying the Regular Class 17 applicable employee and employer contributions for the period 18 being claimed, plus 4 percent interest compounded annually 19 from first year of service claimed until July 1, 1975, and 6.5 20 percent interest compounded thereafter, until full payment is 21 made to the Florida Retirement System Trust Fund. The 22 contribution for postretirement service between July 1, 1985, 23 and July 1, 1991, for which the reemployed retiree 24 contribution was paid, shall be the difference between such 25 contribution and the total applicable contribution for the 26 period being claimed, plus interest. The employer of such 27 member may pay the applicable employer contribution in lieu of 28 the member. 29 (4) No creditable service for which credit was 30 received, or which remained unclaimed, at retirement may be 31 claimed or applied toward service credit earned following 25 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 renewed membership. However, service earned as an elected 2 officer with renewed membership in the Elected State and 3 County Officers' Class may be used in conjunction with 4 creditable service earned under this section, provided the 5 applicable vesting requirements and other existing statutory 6 conditions required by this chapter are met. 7 (5) Notwithstanding any other limitations provided in 8 this section, a participant of the State University System 9 Optional Retirement Program or the Senior Management Service 10 Optional Annuity Program who terminated employment and 11 commenced receiving an annuity under the provisions of the 12 optional program, who renews membership in the Regular Class 13 as required by this section upon reemployment after 14 retirement, and who had previously earned creditable Florida 15 Retirement System service that was not included in any 16 retirement benefit may include such previous service toward 17 vesting and service credit in the second career benefit 18 provided under renewed membership. 19 (6) Any renewed member who is not receiving the 20 maximum health insurance subsidy provided in s. 112.363 shall 21 be entitled to earn additional credit toward the maximum 22 health insurance subsidy. Any additional subsidy due because 23 of such additional credit shall be received only at the time 24 of payment of the second career retirement benefit. In no 25 case shall the total health insurance subsidy received by a 26 retiree receiving benefits from initial and renewed membership 27 exceed the maximum allowed in s. 112.363. 28 Section 13. Paragraph (a) of subsection (2) of section 29 121.23, Florida Statutes, 1996 Supplement, is amended to read: 30 121.23 Disability retirement and special risk 31 membership applications; Retirement Commission; powers and 26 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 duties; judicial review.--The provisions of this section apply 2 to all proceedings in which the administrator has made a 3 written final decision on the merits respecting applications 4 for disability retirement, reexamination of retired members 5 receiving disability benefits, applications for special risk 6 membership, and reexamination of special risk members in the 7 Florida Retirement System. The jurisdiction of the State 8 Retirement Commission under this section shall be limited to 9 written final decisions of the administrator on the merits. 10 (2) A member shall be entitled to a hearing before the 11 State Retirement Commission pursuant to ss. 120.569 and 12 120.57(1) on the merits of any written adverse decision of the 13 administrator, if he or she files with the commission a 14 written request for such hearing within 21 days after receipt 15 of such written decision from the administrator. For the 16 purpose of such hearings, the commission shall be an "agency 17 head" as defined by s. 120.52. 18 (a) The commission shall have the authority to issue 19 orders as a result of a hearing that shall be binding on all 20 parties to the dispute. The commission may order any action 21 that it deems appropriate. Any disability retirement order of 22 the commission issued pursuant to this subsection which 23 sustains the application of the member may include an amount, 24 to be determined by the commission, for reasonable attorney's 25 fees and taxable cost which shall be calculated in accordance 26 with the statewide uniform guidelines for taxation of cost in 27 civil actions. The amount of the attorney's fee shall not 28 exceed 50 percent of the initial yearly benefit awarded under 29 s. 121.091(4). In cases involving disability retirement, the 30 State Retirement Commission shall require the member to 31 27 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 present competent medical evidence and may require vocational 2 evidence before awarding disability retirement benefits. 3 Section 14. Paragraph (b) of subsection (3), 4 paragraphs (a) and (d) of subsection (4), and paragraph (a) of 5 subsection (5) of section 121.35, Florida Statutes, are 6 amended, and paragraphs (c) and (d) of subsection (6) are 7 redesignated as paragraphs (d) and (e), respectively, and a 8 new paragraph (c) is added to said subsection, to read: 9 121.35 Optional retirement program for the State 10 University System.-- 11 (3) ELECTION OF OPTIONAL PROGRAM.-- 12 (a) Any eligible employee who is employed on or before 13 March 1, 1984, may elect to participate in the optional 14 retirement program in lieu of participation in the Florida 15 Retirement System. Such election shall be made in writing and 16 filed with the division and the personnel officer of the 17 employer on or before June 1, 1984. Upon such election, 18 participation in the optional program will take effect July 1, 19 1984, and election to so participate will terminate the 20 membership of the employee in the Florida Retirement System. 21 Any eligible employee who is employed on or before March 1, 22 1984, and who fails to make an election to participate in the 23 optional program by June 1, 1984, shall be deemed to have 24 elected to retain membership in the Florida Retirement System. 25 (b)1. Any employee who becomes eligible to participate 26 in the optional retirement program by reason of initial 27 employment commencing after March 1, 1984, but before January 28 1, 1993, may, within 90 days after the date of commencement of 29 employment, elect to participate in the optional program. Such 30 election shall be made in writing and filed with the personnel 31 officer of the employer. The eligible employees described in 28 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 this subparagraph shall be enrolled in the Florida Retirement 2 System at the commencement of employment, with the exception 3 of those employees who file an election with the personnel 4 officer of the employer prior to the submission of the initial 5 payroll for the employee. For such employees, participation 6 will be effective on the first day of employment or on July 1, 7 1984, whichever is later. If an eligible employee, as 8 described in this subparagraph, files an election to 9 participate in the optional program within 90 days after the 10 commencement of employment, but after the submission by the 11 employer of the initial payroll for the employee, the 12 employee's participation in the optional program will not be 13 effective until the first day of the month for which a full 14 month's employer contribution may be made, or until July 1, 15 1984, whichever is later. Any eligible employee who does not 16 within 90 days after commencement of such employment elect to 17 participate in the optional program shall be deemed to have 18 elected to retain membership in the Florida Retirement System. 19 2. Any employee who after March 1, 1984, but before 20 January 1, 1993, becomes eligible to participate in the 21 optional program by reason of a change in status due to the 22 subsequent designation of the employee's position as one of 23 those specified in paragraph (2)(a) or due to the employee's 24 appointment, promotion, transfer, or reclassification to a 25 position specified in paragraph (2)(a) may elect to 26 participate in the optional program. Such employee shall be 27 notified by the employer of the change in his or her 28 eligibility status. Such employee may, within 90 days after 29 the date of such notification, file with the personnel officer 30 of the employer an election in writing to participate in the 31 optional program in lieu of participation in the Florida 29 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 Retirement System. Upon such election, participation in the 2 optional program will be effective on the first day of the 3 month for which a full month's employer contribution may be 4 made or on July 1, 1984, whichever is later. Election to so 5 participate shall terminate the membership of the employee in 6 the Florida Retirement System. Any eligible employee who does 7 not within 90 days after notification of his or her 8 eligibility to participate in the optional program elect to 9 participate in the program shall be deemed to have elected to 10 retain membership in the Florida Retirement System. 11 3. Notwithstanding the provisions of paragraph (c), 12 effective July 1, 1997, any employee who is eligible to 13 participate in the Optional Retirement Program and who fails 14 to execute an annuity contract with one of the approved 15 companies and to notify the division in writing as provided in 16 subsection (4) within 90 days of the date of eligibility shall 17 be deemed to have elected membership in the Florida Retirement 18 System, except as provided in s. 121.051(1)(a). This 19 provision shall also apply to any employee who terminates 20 employment in an eligible position prior to executing the 21 required annuity contract and notifying the division. Such 22 membership shall be retroactive to the date of eligibility and 23 all appropriate contributions shall be transferred to the 24 Florida Retirement System Trust Fund and the Health Insurance 25 Subsidy Trust Fund. 26 (4) CONTRIBUTIONS.-- 27 (a) Each employer shall contribute on behalf of each 28 participant in the optional retirement program an amount equal 29 to the normal cost portion of the employer retirement 30 contribution which would be required if the participant were a 31 regular member of the Florida Retirement System, plus the 30 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 portion of the contribution rate required in s. 112.363(8) 2 that would otherwise be assigned to the Retiree Health 3 Insurance Subsidy Trust Fund, less an amount approved by the 4 Legislature which shall be deducted by the division to provide 5 for the administration of this program. The payment of the 6 contributions to the optional program which is required by 7 this paragraph for each participant shall be made by the 8 employer to the division, which shall forward the 9 contributions to the designated company or companies 10 contracting for payment of benefits for the participant under 11 the program. However, such contributions paid on behalf of an 12 employee described in paragraph (3)(c) shall not be forwarded 13 to a company and shall not begin to accrue interest until the 14 employee has executed an annuity contract and notified the 15 division. The contributions required by this paragraph and 16 paid on behalf of an employee described in paragraph (3)(c) 17 who fails to execute an annuity contract prior to termination 18 of employment shall be retained by the division for the 19 administration of this program. 20 (d) Each participant in the optional retirement 21 program who has executed an annuity contract may contribute by 22 way of salary reduction or deduction a percentage amount of 23 the participant's gross compensation not to exceed the 24 percentage amount contributed by the employer to the optional 25 program, but in no case shall such contributions exceed 26 federal limitations. Payment of the participant's 27 contributions shall be made by the financial officer of the 28 employer to the division which shall forward the contributions 29 to the designated company or companies contracting for payment 30 of benefits for the participant under the program. 31 (5) BENEFITS.-- 31 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 (a) Benefits shall be payable under the optional 2 retirement program only to vested participants in the program 3 or their beneficiaries, and such benefits shall be paid only 4 by the designated company in accordance with the terms of the 5 annuity contract or contracts applicable to the participant. 6 Benefits funded by employer contributions shall be payable 7 only as a lifetime annuity to the participant, his 8 beneficiary, or estate, except for: 9 1. A lump sum payment to the beneficiary upon the 10 death of the participant; or 11 2. A cash-out of a de minimis account upon the request 12 of a former participant who has been terminated for a minimum 13 of 6 months from the employment that entitled him to Optional 14 Retirement Program participation. A de minimis account is an 15 account with a provider company containing employer 16 contributions and accumulated earnings of not more than $3,500 17 made under the provisions of this chapter. Such cash-out must 18 be a complete liquidation of the account balance with that 19 company and shall be subject to the provisions of the Internal 20 Revenue Code. 21 (6) ADMINISTRATION OF PROGRAM.-- 22 (c) Effective July 1, 1997, the State Board of 23 Administration shall review and make recommendations to the 24 division on the acceptability of all investment products 25 proposed by provider companies of the Optional Retirement 26 Program before they are offered through annuity contracts to 27 the participants, and may advise the division of any changes 28 deemed necessary to ensure that the Optional Retirement 29 Program offers an acceptable mix of investment products. The 30 division shall make the final determination as to whether an 31 investment product will be approved for the program. 32 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 Section 15. Sections 123.10, 123.12, 123.16, 123.18, 2 123.21, 123.22, 123.23, 123.27, 123.28, 123.30, 123.31, 3 123.32, 123.33, 123.34, 123.35, 123.37, 123.38, 123.39, 4 123.41, 123.42, 123.43, 123.44, and 123.45, all Florida 5 Statutes; sections 123.02, 123.03, 123.04, 123.05, 123.051, 6 123.06, 123.08, 123.13, 123.14, 123.15, 123.17, 123.19, 7 123.26, 123.29, and 123.40, Florida Statutes, as amended by 8 chapter 95-147; sections 123.11, 123.24, 123.25, and 123.36, 9 Florida Statutes, as amended by chapter 95-154, Laws of 10 Florida; section 123.01, Florida Statutes, as amended by 11 chapter 94-249, Laws of Florida; and section 123.07, Florida 12 Statutes, as amended by chapters 95-147 and 95-154, Laws of 13 Florida, are hereby repealed. 14 Section 16. The Division of Retirement shall have 15 rulemaking authority for implementing all the provisions of 16 this act. 17 Section 17. There is hereby appropriated from the 18 Florida Retirement System Trust Fund sufficient funds, not to 19 exceed $300,000 annually, to pay attorney's fees and taxable 20 costs as directed by the State Retirement Commission in 21 accordance with s. 121.123(2)(a). 22 Section 18. The Legislature finds that a proper and 23 legitimate state purpose is served when employees and retirees 24 of the state and of its political subdivisions, and the 25 dependents, survivors, and beneficiaries of such employees and 26 retirees, are extended the basic protections afforded by 27 governmental retirement systems that provide fair and adequate 28 benefits and that are managed, administered, and funded in an 29 actuarially sound manner, as required by section 14, Article X 30 of the State Constitution and part VII of chapter 112 of the 31 Florida Statutes. Therefore, the Legislature hereby 33 CODING: Words stricken are deletions; words underlined are additions. Florida House of Representatives - 1997 CS/HB 905 192-940-97 1 determines and declares that the provisions of this act 2 fulfill an important state interest. 3 Section 19. Except as otherwise provided herein, this 4 act shall take effect upon becoming a law. 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 34