CODING: Words stricken are deletions; words underlined are additions.





                                                  SENATE AMENDMENT

    Bill No. SB 2530

    Amendment No.    

                            CHAMBER ACTION
              Senate                               House
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11  Senator Webster moved the following amendment:

12

13         Senate Amendment (with title amendment) 

14         On page 40, between lines 27 and 28,

15

16  insert:

17         Section 18.  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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                                                  SENATE AMENDMENT

    Bill No. SB 2530

    Amendment No.    





 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.

24

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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                                                  SENATE AMENDMENT

    Bill No. SB 2530

    Amendment No.    





 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 19.  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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                                                  SENATE AMENDMENT

    Bill No. SB 2530

    Amendment No.    





 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.

16

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

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                                                  SENATE AMENDMENT

    Bill No. SB 2530

    Amendment No.    





 1  paragraph. The board of trustees may invest up to 10 percent

 2  of plan assets in foreign securities.

 3

 4  (Redesignate subsequent sections.)

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 6

 7  ================ T I T L E   A M E N D M E N T ===============

 8  And the title is amended as follows:

 9         On page 2, line 25

10

11  after the semicolon,

12  insert:

13         amending ss. 175.071 and 185.06, F.S.;

14         providing, with respect to the board of

15         trustees for municipal firefighters' pension

16         trust funds and municipal police officers'

17         retirement trust funds that the board may

18         invest in corporations on the National Market

19         System of the Nasdaq Stock Market;

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