House Bill 0885

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







    Florida House of Representatives - 1999                 HB 885

        By Representatives Boyd, K. Smith, Waters, Dennis, Stansel
    and Turnbull





  1                      A bill to be entitled

  2         An act relating to the Florida Retirement

  3         System; amending s. 121.055, F.S.; requiring

  4         that a judge of compensation claims who is a

  5         member of the Florida Retirement System

  6         participate in the Senior Management Service

  7         Class unless such judge elects to participate

  8         in the Senior Management Service Optional

  9         Annuity Program; providing an effective date.

10

11  Be It Enacted by the Legislature of the State of Florida:

12

13         Section 1.  Subsection (1) of section 121.055, Florida

14  Statutes, 1998 Supplement, is amended to read:

15         121.055  Senior Management Service Class.--There is

16  hereby established a separate class of membership within the

17  Florida Retirement System to be known as the "Senior

18  Management Service Class," which shall become effective

19  February 1, 1987.

20         (1)(a)  Participation in the Senior Management Service

21  Class shall be limited to and compulsory for any member of the

22  Florida Retirement System who holds a position in the Senior

23  Management Service of the State of Florida, established by

24  part III of chapter 110, unless such member elects, within the

25  time specified herein, to participate in the Senior Management

26  Service Optional Annuity Program as established in subsection

27  (6).

28         (b)1.  Except as provided in subparagraph 2., effective

29  January 1, 1990, participation in the Senior Management

30  Service Class shall be compulsory for the president of each

31  community college, the manager of each participating city or

                                  1

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1  county, and all appointed district school superintendents.

  2  Effective January 1, 1994, additional positions may be

  3  designated for inclusion in the Senior Management Service

  4  Class of the Florida Retirement System, provided that:

  5         a.  Positions to be included in the class shall be

  6  designated by the local agency employer.  Notice of intent to

  7  designate positions for inclusion in the class shall be

  8  published once a week for 2 consecutive weeks in a newspaper

  9  of general circulation published in the county or counties

10  affected, as provided in chapter 50.

11         b.  One nonelective full-time position may be

12  designated for each local agency employer reporting to the

13  Division of Retirement; for local agencies with 100 or more

14  regularly established positions, additional nonelective

15  full-time positions may be designated, not to exceed 1 percent

16  of the regularly established positions within the agency.

17         c.  Each position added to the class must be a

18  managerial or policymaking position filled by an employee who

19  is not subject to continuing contract and serves at the

20  pleasure of the local agency employer without civil service

21  protection, and who:

22         (I)  Heads an organizational unit; or

23         (II)  Has responsibility to effect or recommend

24  personnel, budget, expenditure, or policy decisions in his or

25  her areas of responsibility.

26         2.  In lieu of participation in the Senior Management

27  Service Class, members of the Senior Management Service Class

28  pursuant to the provisions of subparagraph 1. may withdraw

29  from the Florida Retirement System altogether and participate

30  in a lifetime monthly annuity program which may be provided by

31  the employing agency.  The cost to the employer for such

                                  2

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1  annuity shall equal the normal cost portion of the

  2  contributions required in the Senior Management Service Class.

  3  The employer providing such annuity shall contribute an

  4  additional amount to the Florida Retirement System Trust Fund

  5  equal to the unfunded actuarial accrued liability portion of

  6  the Senior Management Service Class contribution rate. The

  7  decision to participate in such local government annuity shall

  8  be irrevocable for as long as the employee holds a position

  9  eligible for the annuity.  Any service creditable under the

10  Senior Management Service Class shall be retained after the

11  member withdraws from the Florida Retirement System; however,

12  additional service credit in the Senior Management Service

13  Class shall not be earned after such withdrawal.  Such members

14  shall not be eligible to participate in the Senior Management

15  Service Optional Annuity Program.

16         (c)1.  Effective January 1, 1990, participation in the

17  Senior Management Service Class shall be compulsory for up to

18  75 nonelective positions at the level of committee staff

19  director or higher or equivalent managerial or policymaking

20  positions within the House of Representatives, as selected by

21  the Speaker of the House of Representatives, up to 50

22  nonelective positions at the level of committee staff director

23  or higher or equivalent managerial or policymaking positions

24  within the Senate, as selected by the President of the Senate,

25  all staff directors of joint committees and service offices of

26  the Legislature, the Auditor General and up to 9 managerial or

27  policymaking positions within his or her office as selected by

28  the Auditor General, and the executive director of the

29  Commission on Ethics.

30         2.  Participation in this class shall be compulsory,

31  except as provided in subparagraph 3., for any legislative

                                  3

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1  employee who holds a position designated for coverage in the

  2  Senior Management Service Class, and such participation shall

  3  continue until the employee terminates employment in a covered

  4  position.

  5         3.  In lieu of participation in the Senior Management

  6  Service Class, at the discretion of the President of the

  7  Senate and the Speaker of the House of Representatives, such

  8  members may participate in the Senior Management Service

  9  Optional Annuity Program as established in subsection (6).

10         (d)  Effective January 1, 1991, participation in the

11  Senior Management Service Class shall be compulsory for any

12  member of the Florida Retirement System in a position that has

13  been designated eligible for inclusion in the Executive

14  Service of the State University System or who holds a position

15  as president of a state university, unless such member elects,

16  pursuant to s. 121.35, to participate in the optional

17  retirement program.

18         (e)  Effective January 1, 1991, participation in the

19  Senior Management Service Class shall be compulsory for the

20  number of senior managers who have policymaking authority with

21  the State Board of Administration, as determined by the

22  Governor, Treasurer, and Comptroller acting as the State Board

23  of Administration, unless such member elects to participate in

24  the Senior Management Service Optional Annuity Program as

25  established in subsection (6) in lieu of participation in the

26  Senior Management Service Class. Such election shall be made

27  in writing and filed with the division and the personnel

28  officer of the State Board of Administration within 90 days

29  after becoming eligible for membership in the Senior

30  Management Service Class.

31         (f)  Effective July 1, 1997:

                                  4

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1         1.  Any elected state officer eligible for membership

  2  in the Elected State and County Officers' Class under s.

  3  121.052(2)(a), (b), or (c) who elects membership in the Senior

  4  Management Service Class under s. 121.052(3)(c) may, within 6

  5  months after assuming office or within 6 months after this act

  6  becomes a law for serving elected state officers, elect to

  7  participate in the Senior Management Service Optional Annuity

  8  Program, as provided in subsection (6), in lieu of membership

  9  in the Senior Management Service Class.

10         2.  Any elected county officer eligible for membership

11  in the Elected State and County Officers' Class under s.

12  121.052(2)(d) who elects membership in the Senior Management

13  Service Class under s. 121.052(3)(c) may, within 6 months

14  after assuming office, or within 6 months after this act

15  becomes a law for serving elected county officers, elect to

16  participate in a lifetime monthly annuity program, as provided

17  in subparagraph (b)2., in lieu of membership in the Senior

18  Management Service Class.

19         (g)  Effective July 1, 1996, participation in the

20  Senior Management Service Class shall be compulsory for any

21  member of the Florida Retirement System employed with the

22  Department of Military Affairs in the positions of the

23  Adjutant General, Assistant Adjutant General-Army, Assistant

24  Adjutant General-Air, State Quartermaster, Director of

25  Military Personnel, Director of Administration, and additional

26  directors as designated by the agency head, not to exceed a

27  total of 10 positions.  In lieu of participation in the Senior

28  Management Service Class, such members may participate in the

29  Senior Management Service Optional Annuity Program as

30  established in subsection (6).

31

                                  5

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1         (h)1.  Except as provided in subparagraph 3., effective

  2  January 1, 1994, participation in the Senior Management

  3  Service Class shall be compulsory for the State Courts

  4  Administrator and the Deputy State Courts Administrators, the

  5  Clerk of the Supreme Court, the Marshal of the Supreme Court,

  6  the Executive Director of the Justice Administrative

  7  Commission, the Capital Collateral Representative, the clerks

  8  of the district courts of appeals, the marshals of the

  9  district courts of appeals, and the trial court administrator

10  in each judicial circuit. Effective January 1, 1994,

11  additional positions in the offices of the state attorney and

12  public defender in each judicial circuit may be designated for

13  inclusion in the Senior Management Service Class of the

14  Florida Retirement System, provided that:

15         a.  Positions to be included in the class shall be

16  designated by the state attorney or public defender, as

17  appropriate.  Notice of intent to designate positions for

18  inclusion in the class shall be published once a week for 2

19  consecutive weeks in a newspaper of general circulation

20  published in the county or counties affected, as provided in

21  chapter 50.

22         b.  One nonelective full-time position may be

23  designated for each state attorney and public defender

24  reporting to the Division of Retirement; for agencies with 200

25  or more regularly established positions under the state

26  attorney or public defender, additional nonelective full-time

27  positions may be designated, not to exceed 0.5 percent of the

28  regularly established positions within the agency.

29         c.  Each position added to the class must be a

30  managerial or policymaking position filled by an employee who

31

                                  6

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1  serves at the pleasure of the state attorney or public

  2  defender without civil service protection, and who:

  3         (I)  Heads an organizational unit; or

  4         (II)  Has responsibility to effect or recommend

  5  personnel, budget, expenditure, or policy decisions in his or

  6  her areas of responsibility.

  7         2.  Participation in this class shall be compulsory,

  8  except as provided in subparagraph 3., for any judicial

  9  employee who holds a position designated for coverage in the

10  Senior Management Service Class and such participation shall

11  continue until the employee terminates employment in a covered

12  position.

13         3.  In lieu of participation in the Senior Management

14  Service Class, such members may participate in the Senior

15  Management Service Optional Annuity Program as established in

16  subsection (6).

17         (i)1.  Except as provided in subparagraph 2., effective

18  July 1, 1999, participation in the Senior Management Service

19  Class is compulsory for any member of the Florida Retirement

20  System who is employed as a judge of compensation claims with

21  the Office of the Judges of Compensation Claims within the

22  Department of Labor and Employment Security.

23         2.  In lieu of participating in the Senior Management

24  Service Class, a judge of compensation claims may participate

25  in the Senior Management Service Optional Annuity Program

26  established under subsection (6).

27         (j)(i)  Except as may otherwise be provided, any member

28  of the Senior Management Service Class may purchase additional

29  retirement credit in such class for creditable service within

30  the purview of the Senior Management Service Class retroactive

31  to February 1, 1987, and may upgrade retirement credit for

                                  7

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






    Florida House of Representatives - 1999                 HB 885

    590-133-99






  1  such service, to the extent of 2 percent of the member's

  2  average monthly compensation as specified in paragraph (4)(d)

  3  for such service. Contributions for upgrading the additional

  4  Senior Management Service credit pursuant to this paragraph

  5  shall be equal to the difference in the contributions paid and

  6  the Senior Management Service Class contribution rate as a

  7  percentage of gross salary in effect for the period being

  8  claimed, plus interest thereon at the rate of 6.5 percent a

  9  year, compounded annually until the date of payment. This

10  service credit may be purchased by the employer on behalf of

11  the member.

12         Section 2.  This act shall take effect July 1, 1999.

13

14            *****************************************

15                          SENATE SUMMARY

16    Provides that, effective July 1, 1999, participation in
      the Senior Management Service Class is compulsory for any
17    judge of compensation claims who is a member of the
      Florida Retirement System unless the judge elects to
18    participate in the Senior Management Service Optional
      Annuity Program.
19

20

21

22

23

24

25

26

27

28

29

30

31

                                  8