House Bill 0235c1

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    Florida House of Representatives - 2000              CS/HB 235

        By the Committee on Governmental Operations and
    Representatives Lawson, Turnbull and Effman





  1                      A bill to be entitled

  2         An act relating to the Florida Retirement

  3         System; amending ss. 121.021, 121.0515,

  4         121.052, 121.053, 121.055, 121.081, 121.091,

  5         121.1115, 121.1122, and 121.121, F.S.;

  6         providing that members employed in a regularly

  7         established position shall be vested after 5

  8         years of creditable service; providing that any

  9         terminated, inactive member must be actively

10         employed in a covered position for 1 calendar

11         year or more on or after the bill's effective

12         date to achieve vested status with 5 years of

13         service; providing for employer contribution

14         rate increases to each membership class;

15         providing a legislative declaration of an

16         important state interest; providing effective

17         dates.

18

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

20

21         Section 1.  Effective July 1, 2001, subsections (29)

22  and (45) of section 121.021, Florida Statutes, are amended to

23  read:

24         121.021  Definitions.--The following words and phrases

25  as used in this chapter have the respective meanings set forth

26  unless a different meaning is plainly required by the context:

27         (29)  "Normal retirement date" means the first day of

28  any month following the date a member attains one of the

29  following statuses:

30         (a)  If a Regular Class member, the member:

31

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  1         1.  Completes 5 10 or more years of creditable service

  2  and attains age 62; or

  3         2.  Completes 30 years of creditable service,

  4  regardless of age, which may include a maximum of 4 years of

  5  military service credit as long as such credit is not claimed

  6  under any other system.

  7         (b)  If a Special Risk Class member, the member:

  8         1.  Completes 5 10 or more years of creditable service

  9  in the Special Risk Class and attains age 55;

10         2.  Completes 25 years of creditable service in the

11  Special Risk Class, regardless of age; or

12         3.  Completes 25 years of creditable service and

13  attains age 52, which service may include a maximum of 4 years

14  of military service credit as long as such credit is not

15  claimed under any other system and the remaining years are in

16  the Special Risk Class.

17         (c)  If a Senior Management Service Class member, the

18  member:

19         1.  Completes 5 7 years of creditable service in the

20  Senior Management Service Class and attains age 62; or

21         2.  Completes 30 years of any creditable service,

22  regardless of age, which may include a maximum of 4 years of

23  military service credit as long as such credit is not claimed

24  under any other system.

25         (d)  If an Elected Officers' Class member, the member:

26         1.  Completes 5 8 years of creditable service in the

27  Elected Officers' Class and attains age 62; or

28         2.  Completes 30 years of any creditable service,

29  regardless of age, which may include a maximum of 4 years of

30  military service credit as long as such credit is not claimed

31  under any other system.

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  1

  2  "Normal retirement age" is attained on the "normal retirement

  3  date."

  4         (45)(a)  "Vested" or "vesting" means the guarantee that

  5  a member is eligible to receive a future retirement benefit

  6  upon completion of the required years of creditable service

  7  for the employee's class of membership, even though the member

  8  may have terminated covered employment before reaching normal

  9  or early retirement date. Being vested does not entitle a

10  member to a disability benefit based on a disability caused by

11  an injury or disease that occurs after termination of covered

12  employment.

13         (b)  Effective July 1, 2001, a 5-year vesting

14  requirement shall be implemented for the Florida Retirement

15  System.  Pursuant thereto:

16         1.  Any member employed in a regularly established

17  position on July 1, 2001, who completes or has completed a

18  total of 5 years of creditable service will be considered

19  vested as described in paragraph (a).

20         2.  Any member not employed in a regularly established

21  position on July 1, 2001, will be deemed vested upon

22  completion of 5 years of creditable service, provided that

23  such member is employed in a covered position for at least 1

24  work year after July 1, 2001.  However, no member shall be

25  required to complete more years of creditable service than

26  would have been required for that member to vest under

27  retirement laws in effect before July 1, 2001.

28         Section 2.  Paragraph (a) of subsection (7) of section

29  121.0515, Florida Statutes, is amended to read:

30         121.0515  Special risk membership; criteria;

31  designation and removal of classification; credits for past

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  1  service and prior service; retention of special risk normal

  2  retirement date.--

  3         (7)  RETENTION OF SPECIAL RISK NORMAL RETIREMENT

  4  DATE.--

  5         (a)  A special risk member who is moved or reassigned

  6  to a nonspecial risk law enforcement, firefighting,

  7  correctional, or emergency medical care administrative support

  8  position with the same agency, or who is subsequently employed

  9  in such a position with any law enforcement, firefighting,

10  correctional, or emergency medical care agency under the

11  Florida Retirement System, shall participate in the Special

12  Risk Administrative Support Class and shall earn credit for

13  such service at the same percentage rate as that earned by a

14  regular member.  Notwithstanding the provisions of subsection

15  (4), service in such an administrative support position shall,

16  for purposes of s. 121.091, apply toward satisfaction of the

17  special risk normal retirement date, as defined in s.

18  121.021(29)(b), provided that, while in such position, the

19  member remains certified as a law enforcement officer,

20  firefighter, correctional officer, emergency medical

21  technician, or paramedic; remains subject to reassignment at

22  any time to a position qualifying for special risk membership;

23  and completes an aggregate of 5 10 or more years of service as

24  a designated special risk member prior to retirement.

25         Section 3.  Effective July 1, 2001, paragraphs (b) and

26  (c) of subsection (12) of section 121.052, Florida Statutes,

27  are amended to read:

28         121.052  Membership class of elected officers.--

29         (12)  BENEFITS.--

30         (b)  The benefit provisions of s. 121.091(2)-(6), (8),

31  (9), and (11), relating to benefits payable for dual normal

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  1  retirement ages, early retirement, disability retirement,

  2  termination benefits, optional forms of retirement,

  3  designation of beneficiaries, employment after retirement, and

  4  method of computing actuarial equivalent, respectively, shall

  5  also apply to members of the Elected Officers' Class, except

  6  that only 8 years of creditable service in this class are

  7  needed to attain the benefits specified in s. 121.091(3) and

  8  (5). These provisions shall be construed in such manner as to

  9  make them compatible with the provisions of this section.

10         (c)  The benefit provisions of s. 121.091(7), relating

11  to death benefits, shall apply to members of the Elected

12  Officers' Class and shall be construed in such manner as to

13  make them compatible with the provisions of this section;

14  however, only 8 years of creditable service in this class are

15  needed to obtain such benefits, except that:

16         1.  If any elected official dies in office who would

17  have been vested under the Elected Officers' Class, any other

18  class of the Florida Retirement System, or any other

19  state-administered retirement system, if the official had

20  lived to complete his or her term of office, the official's

21  spouse may elect to leave the official's retirement

22  contributions in the retirement trust fund and pay into said

23  fund any required contributions which would have been paid by

24  the officer or the employer had the officer lived to complete

25  the term of office.

26         2.  If a deceased member's surviving spouse as

27  described in subparagraph 1. previously received a refund of

28  the member's contributions made to the retirement trust fund,

29  the surviving spouse may pay into the retirement trust fund an

30  amount equal to the deceased member's contributions previously

31  refunded, together with interest at 4 percent compounded

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  1  annually on the amount of such refunded contributions from the

  2  date of refund until July 1, 1975, and at 6.5 percent

  3  compounded annually thereafter to the date of payment, plus

  4  such additional contributions as may be required under

  5  subparagraph 1., in order to become vested, as applicable.

  6

  7  Upon conclusion of the term of office to which the deceased

  8  officer was elected, a spouse who pays into the retirement

  9  trust fund such additional or refunded contributions, plus

10  interest, shall be eligible to receive a monthly benefit in

11  the same manner as the surviving spouse of a member who dies

12  after accumulating the required number of years of creditable

13  service as described herein.

14         Section 4.  Effective July 1, 2001, paragraph (a) of

15  subsection (1) of section 121.053, Florida Statutes, is

16  amended to read:

17         121.053  Participation in the Elected Officers' Class

18  for retired members.--

19         (1)(a)  Any member who retired under any existing

20  system as defined in s. 121.021(2), and receives a benefit

21  thereof, and who serves in an office covered by the Elected

22  Officers' Class for a period of at least 5 8 years, shall be

23  entitled to receive an additional retirement benefit for such

24  elected officer service prior to July 1, 1990, under the

25  Elected Officers' Class of the Florida Retirement System, as

26  follows:

27         1.  Upon completion of 5 8 or more years of creditable

28  service in an office covered by the Elected Officers' Class,

29  s. 121.052, such member shall notify the administrator of his

30  or her intent to purchase elected officer service prior to

31  July 1, 1990, and shall pay the member contribution applicable

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  1  for the period being claimed, plus 4 percent interest

  2  compounded annually from the first year of service claimed

  3  until July 1, 1975, and 6.5 percent interest compounded

  4  annually thereafter, until full payment is made to the Florida

  5  Retirement System Trust Fund; however, such member may

  6  purchase retirement credit under the Elected Officers' Class

  7  only for such service as an elected officer.

  8         2.  Upon payment of the amount specified in

  9  subparagraph 1., the employer shall pay into the Florida

10  Retirement System Trust Fund the applicable employer

11  contribution for the period of elected officer service prior

12  to July 1, 1990, being claimed by the member, plus 4 percent

13  interest compounded annually from the first year of service

14  claimed until July 1, 1975, and 6.5 percent interest

15  compounded annually thereafter, until full payment is made to

16  the Florida Retirement System Trust Fund.

17         Section 5.  Effective July 1, 2001, paragraph (b) of

18  subsection (4) of section 121.055, Florida Statutes, is

19  amended to read:

20         121.055  Senior Management Service Class.--There is

21  hereby established a separate class of membership within the

22  Florida Retirement System to be known as the "Senior

23  Management Service Class," which shall become effective

24  February 1, 1987.

25         (4)

26         (b)  Service in an eligible position prior to February

27  1, 1987, or after January 31, 1987, shall satisfy the

28  requirement of attaining the normal retirement date as defined

29  in s. 121.021(29) for a Senior Management Service Class

30  member, provided the employee is a member of the Senior

31  Management Service Class after January 31, 1987.  A member of

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  1  this class who fails to complete 5 7 years of creditable

  2  service in an eligible position shall be required to satisfy

  3  the requirements for the normal retirement date for a regular

  4  member as provided in s. 121.021(29).

  5         Section 6.  Effective July 1, 2001, paragraph (i) of

  6  subsection (1) and paragraph (b) of subsection (2) of section

  7  121.081, Florida Statutes, are amended to read:

  8         121.081  Past service; prior service;

  9  contributions.--Conditions under which past service or prior

10  service may be claimed and credited are:

11         (1)

12         (i)  An employee of a state agency who was a member of

13  a state-administered retirement system and who was granted

14  educational leave with pay pursuant to a written educational

15  leave-with-pay policy may claim such period of educational

16  leave as past service subject to the following conditions:

17         1.  The educational leave must have occurred prior to

18  December 31, 1971;

19         2.  The member must have completed at least 5 10 years

20  of creditable service excluding the period of the educational

21  leave;

22         3.  The employee must have returned to employment with

23  a state agency employer who participated in the retirement

24  system, which return was immediately upon termination of the

25  educational leave, and must have remained on the employer's

26  payroll for at least 1 calendar month following the return to

27  employment;

28         4.  The employee must be a member of the Florida

29  Retirement System at the time he or she claims such service;

30         5.  Not more than 24 months of creditable service may

31  be claimed for such period of educational leave with pay;

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  1         6.  The service must not be claimed under any other

  2  state or federal retirement system; and

  3         7.  The member must pay to the retirement trust fund

  4  for claiming such past-service credit an amount equal to 8

  5  percent of his or her gross annual salary immediately prior to

  6  the educational leave with pay for each year of past service

  7  claimed, plus 4 percent interest thereon compounded annually

  8  each June 30 from the first year of service claimed until July

  9  1, 1975, and 6.5 percent interest thereafter on the unpaid

10  balance compounded annually each June 30 until paid.

11         (2)  Prior service, as defined in s. 121.021(19), may

12  be claimed as creditable service under the Florida Retirement

13  System after a member has been reemployed for 1 complete year

14  of creditable service within a period of 12 consecutive

15  months, except as provided in paragraph (c). Service performed

16  as a participant of the optional retirement program for the

17  State University System under s. 121.35 or the Senior

18  Management Service Optional Annuity Program under s. 121.055

19  may be used to satisfy the reemployment requirement of 1

20  complete year of creditable service.  The member shall not be

21  permitted to make any contributions for prior service until

22  after completion of the 1 year of creditable service. The

23  required contributions for claiming the various types of prior

24  service are:

25         (b)  For prior service performed prior to the date the

26  system became becomes noncontributory for the member, and for

27  which the member had credit under the Florida Retirement

28  System and received a refund of contributions upon termination

29  of employment, the member shall contribute at the rate that

30  was required of him or her during the period of service being

31  claimed, on all salary received during such period, plus 4

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  1  percent interest compounded annually from the date of refund

  2  until July 1, 1975, and 6.5 percent interest compounded

  3  annually thereafter, until the full payment is made to the

  4  Florida Retirement System Trust Fund.

  5         Section 7.  Effective July 1, 2001, paragraph (a) of

  6  subsection (1), paragraphs (a), (h), and (j) of subsection (4)

  7  of section 121.091, Florida Statutes, are amended to read:

  8         121.091  Benefits payable under the system.--Benefits

  9  may not be paid under this section unless the member has

10  terminated employment as provided in s. 121.021(39)(a) or

11  begun participation in the Deferred Retirement Option Program

12  as provided in subsection (13), and a proper application has

13  been filed in the manner prescribed by the department. The

14  department may cancel an application for retirement benefits

15  when the member or beneficiary fails to timely provide the

16  information and documents required by this chapter and the

17  department's rules. The department shall adopt rules

18  establishing procedures for application for retirement

19  benefits and for the cancellation of such application when the

20  required information or documents are not received.

21         (1)  NORMAL RETIREMENT BENEFIT.--Upon attaining his or

22  her normal retirement date, the member, upon application to

23  the administrator, shall receive a monthly benefit which shall

24  begin to accrue on the first day of the month of retirement

25  and be payable on the last day of that month and each month

26  thereafter during his or her lifetime. The normal retirement

27  benefit, including any past or additional retirement credit,

28  may not exceed 100 percent of the average final compensation.

29  The amount of monthly benefit shall be calculated as the

30  product of A and B, subject to the adjustment of C, if

31  applicable, as set forth below:

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  1         (a)1.  For creditable years of Regular Class service, A

  2  is 1.60 percent of the member's average final compensation, up

  3  to the member's normal retirement date. Upon completion of the

  4  first year after the normal retirement date, A is 1.63 percent

  5  of the member's average final compensation.  Following the

  6  second year after the normal retirement date, A is 1.65

  7  percent of the member's average final compensation. Following

  8  the third year after the normal retirement date, and for

  9  subsequent years, A is 1.68 percent of the member's average

10  final compensation.

11         2.  For creditable years of special risk service, A is:

12         a.  A is 2.00 Two percent of the member's average final

13  compensation for all creditable years prior to October 1,

14  1974;

15         b.  A is 3.00 Three percent of the member's average

16  final compensation for all creditable years after September

17  30, 1974, and before October 1, 1978;

18         c.  A is 2.00 Two percent of the member's average final

19  compensation for all creditable years after September 30,

20  1978, and before January 1, 1989;

21         d.  A is 2.20 Two and two-tenths percent of the

22  member's final monthly compensation for all creditable years

23  after December 31, 1988, and before January 1, 1990;

24         e.  A is 2.40 Two and four-tenths percent of the

25  member's average final compensation for all creditable years

26  after December 31, 1989, and before January 1, 1991;

27         f.  A is 2.60 Two and six-tenths percent of the

28  member's average final compensation for all creditable years

29  after December 31, 1990, and before January 1, 1992;

30

31

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  1         g.  A is 2.80 Two and eight-tenths percent of the

  2  member's average final compensation for all creditable years

  3  after December 31, 1991, and before January 1, 1993; and

  4         h.  A is 3.00 Three percent of the member's average

  5  final compensation for all creditable years after December 31,

  6  1992;

  7         3.  For creditable years of Senior Management Service

  8  Class service after January 31, 1987, A is 2 percent;

  9         4.  For creditable years of Elected Officers' Class

10  service as a Supreme Court Justice, district court of appeal

11  judge, circuit judge, or county court judge, A is 3 1/3

12  percent of the member's average final compensation, and for

13  all other creditable service in such class, A is 3.00 3

14  percent of average final compensation;

15         (4)  DISABILITY RETIREMENT BENEFIT.--

16         (a)  Disability retirement; entitlement and effective

17  date.--

18         1.  A member who becomes totally and permanently

19  disabled, as defined in paragraph (b), after completing 5

20  years of creditable service, or a member who becomes totally

21  and permanently disabled in the line of duty regardless of

22  service, shall be entitled to a monthly disability benefit;

23  except that any member with less than 5 years of creditable

24  service on July 1, 1980, or any person who becomes a member of

25  the Florida Retirement System on or after such date must have

26  completed 10 years of creditable service prior to becoming

27  totally and permanently disabled in order to receive

28  disability retirement benefits for any disability which occurs

29  other than in the line of duty. However, if a member employed

30  on July 1, 1980, with less than 5 years of creditable service

31  as of that date, becomes totally and permanently disabled

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  1  after completing 5 years of creditable service and is found

  2  not to have attained fully insured status for benefits under

  3  the federal Social Security Act, such member shall be entitled

  4  to a monthly disability benefit.

  5         2.  If the division has received from the employer the

  6  required documentation of the member's termination of

  7  employment, the effective retirement date for a member who

  8  applies and is approved for disability retirement shall be

  9  established by rule of the division.

10         3.  For a member who is receiving Workers' Compensation

11  payments, the effective disability retirement date may not

12  precede the date the member reaches Maximum Medical

13  Improvement (MMI), unless the member terminates employment

14  prior to reaching MMI.

15         (h)  Recovery from disability.--The administrator may

16  require periodic reexaminations at the expense of the

17  retirement fund. The division may adopt rules establishing

18  procedures for conducting and review of such reexaminations.

19         1.  If the administrator finds that a member who is

20  receiving disability benefits is, at any time prior to his or

21  her normal retirement date, no longer disabled, the

22  administrator shall direct that the benefits be discontinued.

23  The decision of the administrator on this question shall be

24  final and binding. If such member:

25         a.  Does not reenter the employ of an employer and was

26  not vested as of the disability retirement date, he or she

27  shall be entitled to a refund of the excess, if any, of his or

28  her accumulated contributions over the total disability

29  benefits received up to the date of recovery.

30

31

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  1         b.  Does not reenter the employ of an employer, but was

  2  vested as of the disability retirement date, he or she may

  3  elect to receive:

  4         (I)  A refund of the excess, if any, of his or her

  5  accumulated contributions over the total disability benefits

  6  received up to the date of recovery; or

  7         (II)  A deferred benefit commencing on the last day of

  8  the month of the normal retirement date which shall be payable

  9  on the last day of the month thereafter during his or her

10  lifetime.  The amount of such monthly benefit shall be

11  computed in the same manner as for a normal retirement

12  benefit, in accordance with subsection (1), but shall be based

13  on average monthly compensation and creditable service as of

14  the member's disability retirement date.

15         c.  Reenters employment of an employer within 6 months

16  after recovery, the member's service will be deemed to have

17  been continuous, but the period beginning with the first month

18  for which he or she received a disability benefit payment and

19  ending with the date he or she reentered employment will not

20  be considered as creditable service for the purpose of

21  computing benefits except as provided in sub-subparagraph d.

22  As used in this section, the term "accumulated contributions"

23  for such member means the excess of the member's accumulated

24  contributions as of the disability retirement date over the

25  total disability benefits received under paragraph (e).

26         d.  Terminates his or her disability benefit, reenters

27  covered employment, and is continuously employed for a minimum

28  of 1 year of creditable service, he or she may claim as

29  creditable service the months during which he or she was

30  receiving a disability benefit, upon payment of the required

31  contributions.  Contributions shall equal the total required

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  1  employee and employer contribution rate applicable during the

  2  period the retiree received retirement benefits, multiplied

  3  times his or her rate of monthly compensation prior to the

  4  commencement of disability retirement for each month of the

  5  period claimed, plus 4 percent interest until July 1, 1975,

  6  and 6.5 percent interest thereafter, compounded annually each

  7  June 30 to the date of payment. If the member does not claim

  8  credit for all of the months he or she received disability

  9  benefits, the months claimed must be the most recent months of

10  retirement. Such credit for periods of disability, when

11  purchased under the Florida Retirement System, shall apply

12  toward vesting requirements for eligibility to purchase

13  additional credit for other service.

14         2.  Both the member receiving disability benefits who

15  reenters employment and the employer employing such disability

16  retiree shall notify the division immediately upon

17  reemployment, and the division shall terminate such member's

18  disability benefits, effective the first day of the month

19  following the month in which notification of recovery is

20  received. If the member is reemployed with a Florida

21  Retirement System employer at the time of benefit termination,

22  and he or she has received disability retirement benefit and

23  salary payments concurrently prior to notifying the division,

24  he or she may elect within 30 days to:

25         a.  Retain the retirement benefits received prior to

26  termination of disability benefits and begin receiving

27  retirement service credit effective upon the date of

28  termination of benefits; or

29         b.  Repay, within 12 months after his or her decision

30  to receive service credit, the retirement benefits received

31  for each month of reemployment prior to termination of

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  1  disability benefits and begin receiving retirement service

  2  credit effective upon the date of reemployment. Any such

  3  unpaid benefits shall have compound interest of 6.5 percent

  4  added June 30.

  5

  6  A member may not receive both retirement service credit for

  7  employment and retirement benefits for the same month.

  8         3.  If, after recovery of disability and reentry into

  9  covered employment, the member again becomes disabled and is

10  again approved for disability retirement, the Option 1 monthly

11  retirement benefit shall not be less than the Option 1 monthly

12  benefit calculated at the time of the previous disability,

13  plus any cost of living increases up to the time the

14  disability benefit was terminated upon his or her reentry into

15  covered employment.

16         (j)  Disability retirement of justice or judge by order

17  of Supreme Court.--

18         1.  If a member is a justice of the Supreme Court,

19  judge of a district court of appeal, circuit judge, or judge

20  of a county court who has served for 5 10 years or more as an

21  elected constitutional judicial officer, including service as

22  a judicial officer in any court abolished pursuant to Art. V

23  of the State Constitution, and who is retired for disability

24  by order of the Supreme Court upon recommendation of the

25  Judicial Qualifications Commission pursuant to the provisions

26  of Art. V of the State Constitution, the member's Option 1

27  monthly benefit as provided in subparagraph (6)(a)1. shall not

28  be less than two-thirds of his or her monthly compensation as

29  of the member's disability retirement date.  Such a member may

30  alternatively elect to receive a disability retirement benefit

31  under any other option as provided in paragraph (6)(a).

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  1         2.  Should any justice or judge who is a member of the

  2  Florida Retirement System be retired for disability by order

  3  of the Supreme Court upon recommendation of the Judicial

  4  Qualifications Commission pursuant to the provisions of Art. V

  5  of the State Constitution, then all contributions to his or

  6  her account and all contributions made on his or her behalf by

  7  the employer shall be transferred to and deposited in the

  8  General Revenue Fund of the state, and there is hereby

  9  appropriated annually out of the General Revenue Fund, to be

10  paid into the Florida Retirement System Fund, an amount

11  necessary to pay the benefits of all justices and judges

12  retired from the Florida Retirement System pursuant to Art. V

13  of the State Constitution.

14         Section 8.  Effective July 1, 2001, paragraph (b) of

15  subsection (1) of section 121.1115, Florida Statutes, is

16  amended to read:

17         121.1115  Purchase of retirement credit for

18  out-of-state and federal service.--Effective January 1, 1995,

19  a member of the Florida Retirement System may purchase

20  creditable service for periods of public employment in another

21  state and receive creditable service for such periods of

22  employment. Service with the Federal Government, including any

23  military service, may be claimed. Upon completion of each year

24  of service earned under the Florida Retirement System, a

25  member may purchase up to 1 year of retirement credit for his

26  or her out-of-state service, subject to the following

27  provisions:

28         (1)  LIMITATIONS AND CONDITIONS.--To receive credit for

29  the out-of-state service:

30         (b)  The member must have completed a minimum of 5 10

31  years of creditable service under the Florida Retirement

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  1  System, excluding out-of-state service and in-state service

  2  claimed and purchased under s. 121.1122.

  3         Section 9.  Effective July 1, 2001, paragraph (a) of

  4  subsection (2) of section 121.1122, Florida Statutes, is

  5  amended to read:

  6         121.1122  Purchase of retirement credit for in-state

  7  public service and in-state service in accredited nonpublic

  8  schools and colleges, including charter schools and charter

  9  technical career centers.--Effective January 1, 1998, a member

10  of the Florida Retirement System may purchase creditable

11  service for periods of certain public or nonpublic employment

12  performed in this state, as provided in this section.

13         (2)  LIMITATIONS AND CONDITIONS.--

14         (a)  A member is not eligible to receive credit for

15  in-state service under this section until he or she has

16  completed 5 10 years of creditable service under the Florida

17  Retirement System, excluding service purchased under this

18  section and out-of-state service claimed and purchased under

19  s. 121.1115.

20         Section 10.  Effective July 1, 2001, paragraph (a) of

21  subsection (1) of section 121.121, Florida Statutes, is

22  amended to read:

23         121.121  Authorized leaves of absence.--

24         (1)  A member may purchase creditable service for up to

25  2 work years of authorized leaves of absence if:

26         (a)  The member has completed a minimum of 5 10 years

27  of creditable service, excluding periods for which a leave of

28  absence was authorized;

29         Section 11.  Effective July 1, 2000, in order to fund

30  the reduction in vesting requirements provided in this act:

31

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  1         (1)  The contribution rates that apply to the Regular

  2  Class of the Florida Retirement System shall be increased by

  3  0.49 percentage points;

  4         (2)  The contribution rates that apply to the Special

  5  Risk Class of the Florida Retirement System shall be increased

  6  by 0.76 percentage points;

  7         (3)  The contribution rates that apply to the Special

  8  Risk Administrative Support Class of the Florida Retirement

  9  System shall be increased by 0.27 percentage points;

10         (4)  The contribution rates that apply to the Judicial

11  sub-class of the Elected Officers' Class of the Florida

12  Retirement System shall be increased by 0.41 percentage

13  points;

14         (5)  The contribution rates that apply to the

15  legislative-attorney-Cabinet sub-class of the Elected

16  Officers' Class of the Florida Retirement System shall be

17  increased by 0.72 percentage points;

18         (6)  The contribution rates that apply to the County

19  Officers' sub-class of the Elected Officers' Class of the

20  Florida Retirement System shall be increased by 0.37

21  percentage points; and

22         (7)  The contribution rates that apply to the Senior

23  Management Service Class of the Florida Retirement System

24  shall be increased by 0.27 percentage points.

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26  These increases shall be in addition to all other changes to

27  such contribution rates which may be enacted into law to take

28  effect on that date.  The Division of Statutory Revision is

29  directed to adjust accordingly the contribution rates set

30  forth in ss. 121.052, 121.055, and 121.071, Florida Statutes.

31

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  1         Section 12.  The Legislature finds that a proper and

  2  legitimate state purpose is served when employees and retirees

  3  of the state and of its political subdivisions, and the

  4  dependents, survivors, and beneficiaries of such employees and

  5  retirees, are extended the basic protections afforded by

  6  governmental retirement systems that provide fair and adequate

  7  benefits and that are managed, administered, and funded in an

  8  actuarially sound manner, as required by s. 14, Art. X of the

  9  State Constitution and part VII of chapter 112 of the Florida

10  Statutes.  Therefore, the Legislature hereby determines and

11  declares that the provisions of this act fulfill an important

12  state interest.

13         Section 13.  Except as otherwise provided herein, this

14  act shall take effect July 1, 2000.

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