Senate Bill 0812c1

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



    Florida Senate - 2000                            CS for SB 812

    By the Committee on Governmental Oversight and Productivity;
    and Senator Klein




    302-1783-00

  1                      A bill to be entitled

  2         An act relating to the Florida Retirement

  3         System; amending s. 121.111, F.S.; amending

  4         conditions under which a member of the system

  5         may receive creditable service for certain

  6         military service; providing for increases in

  7         contribution rates which apply to various

  8         classes of the Florida Retirement System;

  9         providing for a reviser's bill; providing

10         legislative findings; providing an effective

11         date.

12

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

14

15         Section 1.  Subsection (2) of section 121.111, Florida

16  Statutes, is amended to read:

17         121.111  Credit for military service.--

18         (2)  Any member whose initial date of employment is

19  before January 1, 1987, who has military service as defined in

20  s. 121.021(20)(b), and who does not claim such service under

21  subsection (1) may receive creditable service for such

22  military service if:

23         (a)  The member is vested;

24         (b)  Creditable service, not to exceed a total of 4

25  years, is claimed only as service earned in the Regular Class

26  of membership; and

27         (c)  The member pays into the proper retirement trust

28  fund 4 percent of gross salary, based upon his or her first

29  year of salary subsequent to July 1, 1945, that he or she has

30  credit for under this system, plus 4 percent interest thereon

31  compounded annually from the date of first creditable service

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






    Florida Senate - 2000                            CS for SB 812
    302-1783-00




  1  under this chapter until July 1, 1975, and 6.5 percent

  2  interest compounded annually thereafter, until payment is made

  3  to the proper retirement trust fund.

  4         Section 2.  Effective July 1, 2000, in order to fund

  5  the full cost of the repurchase of wartime service credit

  6  provided in this act:

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

  8  Class of the Florida Retirement System shall be increased by

  9  0.03 percentage points;

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

11  Risk Class of the Florida Retirement System shall be increased

12  by 0.05 percentage points.

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

14  Risk Administrative Support Class of the Florida Retirement

15  System shall be increased by 0.08 percentage points;

16         (4)  The contribution rates that apply to the judicial

17  subclass of the Elected Officers' Class of the Florida

18  Retirement System shall be increased by 0.04 percentage

19  points;

20         (5)  The contribution rates that apply to the

21  legislative-attorney-Cabinet subclass of the Elected Officers'

22  Class of the Florida Retirement System shall be increased by

23  0.02 percentage points;

24         (6)  The contribution rates that apply to the county

25  officers' subclass of the Elected Officers' Class shall be

26  increased by 0.03 percentage points; and

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

28  Management Service Class of the Florida Retirement System

29  shall be increased by 0.06 percentage points.

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






    Florida Senate - 2000                            CS for SB 812
    302-1783-00




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

  2  such contribution rates which may be effective July 1, 2000.

  3  The Division of Statutory Revision shall prepare a reviser's

  4  bill to adjust accordingly the contribution rates set forth in

  5  sections 121.051, 121.055, and 121.071, Florida Statutes.

  6         Section 3.  The Legislature finds that a proper and

  7  legitimate state purpose is served when employees and retirees

  8  of the state and its political subdivisions, and the

  9  dependents, survivors, and beneficiaries of such employees and

10  retirees, are extended the basic protections afforded by

11  governmental retirement systems that provide fair and adequate

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

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

14  State Constitution and part VII of chapter 112, Florida

15  Statutes.  Therefore, the Legislature hereby determines and

16  declares that the provisions of this act fulfill an important

17  state interest.

18         Section 4.  This act shall take effect upon becoming a

19  law.

20

21          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
22                              SB 812

23

24  Amends s. 121.111(2), F.S., to eliminate requirement that
    initial date of employment be prior to January 1, 1987.
25
    Specifies the percentage of contribution rate increases
26  required to fund the act.

27  Adds that Statutory Revision shall prepare a reviser's bill to
    adjust contribution rates.
28
    Adds important state interest clause because of financial
29  impact on local governments.

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