CODING: Words stricken are deletions; words underlined are additions.
HOUSE AMENDMENT
532-223AX-06 Bill No. HB 1883
Amendment No. (for drafter's use only)
CHAMBER ACTION
Senate House
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5 ORIGINAL STAMP BELOW
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11 Representative(s) Posey offered the following:
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13 Amendment (with title amendment)
14 On page 40, between lines 6 & 7,
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16 insert:
17 Section 17. Paragraph (b) of subsection (1) of section
18 175.071, Florida Statutes, 1998 Supplement, is amended to
19 read:
20 175.071 General powers and duties of board of
21 trustees.--For any municipality, special fire control
22 district, chapter plan, local law municipality, local law
23 special fire control district, or local law plan under this
24 chapter:
25 (1) The board of trustees may:
26 (b) Invest and reinvest the assets of the
27 firefighters' pension trust fund in:
28 1. Time or savings accounts of a national bank, a
29 state bank insured by the Bank Insurance Fund, or a savings,
30 building, and loan association insured by the Savings
31 Association Insurance Fund which is administered by the
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File original & 9 copies 04/15/99
hbd0007 08:35 am 01883-0032-553059
HOUSE AMENDMENT
532-223AX-06 Bill No. HB 1883
Amendment No. (for drafter's use only)
1 Federal Deposit Insurance Corporation or a state or federal
2 chartered credit union whose share accounts are insured by the
3 National Credit Union Share Insurance Fund.
4 2. Obligations of the United States or obligations
5 guaranteed as to principal and interest by the government of
6 the United States.
7 3. Bonds issued by the State of Israel.
8 4. Bonds, stocks, or other evidences of indebtedness
9 issued or guaranteed by a corporation organized under the laws
10 of the United States, any state or organized territory of the
11 United States, or the District of Columbia, provided:
12 a. The corporation is listed on any one or more of the
13 recognized national stock exchanges or on the National Market
14 System of the Nasdaq Stock Market and, in the case of bonds
15 only, holds a rating in one of the three highest
16 classifications by a major rating service; and
17 b. The board of trustees shall not invest more than 5
18 percent of its assets in the common stock or capital stock of
19 any one issuing company, nor shall the aggregate investment in
20 any one issuing company exceed 5 percent of the outstanding
21 capital stock of that company or the aggregate of its
22 investments under this subparagraph at cost exceed 50 percent
23 of the assets of the fund.
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25 This paragraph shall apply to all boards of trustees and
26 participants. However, in the event that a municipality or
27 special fire control district has a duly enacted pension plan
28 pursuant to, and in compliance with, s. 175.351, and the
29 trustees thereof desire to vary the investment procedures
30 herein, the trustees of such plan shall request a variance of
31 the investment procedures as outlined herein only through a
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File original & 9 copies 04/15/99
hbd0007 08:35 am 01883-0032-553059
HOUSE AMENDMENT
532-223AX-06 Bill No. HB 1883
Amendment No. (for drafter's use only)
1 municipal ordinance, special act of the Legislature, or
2 resolution by the governing body of the special fire control
3 district; where a special act, or a municipality by ordinance
4 adopted prior to July 1, 1998, permits a greater than
5 50-percent equity investment, such municipality shall not be
6 required to comply with the aggregate equity investment
7 provisions of this paragraph. Notwithstanding any other
8 provision of law to the contrary, nothing in this section may
9 be construed to take away any preexisting legal authority to
10 make equity investments that exceed the requirements of this
11 paragraph. The board of trustees may invest up to 10 percent
12 of plan assets in foreign securities.
13 Section 18. Paragraph (b) of subsection (1) of section
14 185.06, Florida Statutes, 1998 Supplement, is amended to read:
15 185.06 General powers and duties of board of
16 trustees.--For any municipality, chapter plan, local law
17 municipality, or local law plan under this chapter:
18 (1) The board of trustees may:
19 (b) Invest and reinvest the assets of the retirement
20 trust fund in:
21 1. Time or savings accounts of a national bank, a
22 state bank insured by the Bank Insurance Fund, or a savings
23 and loan association insured by the Savings Association
24 Insurance Fund which is administered by the Federal Deposit
25 Insurance Corporation or a state or federal chartered credit
26 union whose share accounts are insured by the National Credit
27 Union Share Insurance Fund.
28 2. Obligations of the United States or obligations
29 guaranteed as to principal and interest by the United States.
30 3. Bonds issued by the State of Israel.
31 4. Bonds, stocks, or other evidences of indebtedness
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File original & 9 copies 04/15/99
hbd0007 08:35 am 01883-0032-553059
HOUSE AMENDMENT
532-223AX-06 Bill No. HB 1883
Amendment No. (for drafter's use only)
1 issued or guaranteed by a corporation organized under the laws
2 of the United States, any state or organized territory of the
3 United States, or the District of Columbia, provided:
4 a. The corporation is listed on any one or more of the
5 recognized national stock exchanges or on the National Market
6 System of the Nasdaq Stock Market and, in the case of bonds
7 only, holds a rating in one of the three highest
8 classifications by a major rating service; and
9 b. The board of trustees shall not invest more than 5
10 percent of its assets in the common stock or capital stock of
11 any one issuing company, nor shall the aggregate investment in
12 any one issuing company exceed 5 percent of the outstanding
13 capital stock of the company or the aggregate of its
14 investments under this subparagraph at cost exceed 50 percent
15 of the fund's assets.
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17 This paragraph shall apply to all boards of trustees and
18 participants. However, in the event that a municipality has a
19 duly enacted pension plan pursuant to, and in compliance with,
20 s. 185.35 and the trustees thereof desire to vary the
21 investment procedures herein, the trustees of such plan shall
22 request a variance of the investment procedures as outlined
23 herein only through a municipal ordinance or special act of
24 the Legislature; where a special act, or a municipality by
25 ordinance adopted prior to July 1, 1998, permits a greater
26 than 50-percent equity investment, such municipality shall not
27 be required to comply with the aggregate equity investment
28 provisions of this paragraph. Notwithstanding any other
29 provision of law to the contrary, nothing in this section may
30 be construed to take away any preexisting legal authority to
31 make equity investments that exceed the requirements of this
4
File original & 9 copies 04/15/99
hbd0007 08:35 am 01883-0032-553059
HOUSE AMENDMENT
532-223AX-06 Bill No. HB 1883
Amendment No. (for drafter's use only)
1 paragraph. The board of trustees may invest up to 10 percent
2 of plan assets in foreign securities.
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6 And the title is amended as follows:
7 On page 2, line 25
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9 after the semicolon insert:
10 amending ss. 175.071 and 185.06, F.S.;
11 providing, with respect to the board of
12 trustees for municipal firefighters' pension
13 trust funds and municipal police officers'
14 retirement trust funds that the board may
15 invest in corporations on the National Market
16 System of the Nasdaq Stock Market;
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File original & 9 copies 04/15/99
hbd0007 08:35 am 01883-0032-553059