Senate Bill sb2384

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2004        (NP)                      SB 2384

    By Senators Sebesta, Miller and Crist





    16-1081-04                                         See HB 1023

  1                      A bill to be entitled

  2         An act relating to the City of Tampa,

  3         Hillsborough County; amending chapter 23559

  4         (1945), Laws of Florida, as amended; revising

  5         provisions relating to the pension fund for

  6         general employees of the City of Tampa;

  7         clarifying covered employees; revising the

  8         definition of "average monthly salary,"

  9         "pension credit," and "normal retirement date"

10         to provide for 6-year vesting; revising

11         deferred pension, early retirement, and

12         disability retirement provisions to provide for

13         6-year vesting; providing additional

14         cost-of-living adjustments; revising benefits

15         provisions regarding reemployment after

16         termination to provide for 6-year vesting;

17         providing for 6-year vesting for elective

18         officers, department heads, and appointive

19         officers; revising the eligibility requirements

20         for the Deferred Retirement Option Program to

21         provide for 6-year vesting; adding a provision

22         regarding limitations on amounts of benefits;

23         repealing all laws in conflict herewith;

24         providing an effective date.

25  

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

27  

28         Section 1.  Section 2, subsections (I), (K), and (L) of

29  section 4, section 9, subsection (A) of section 10, subsection

30  (A) of section 11, subsection (C) of section 13, section 15,

31  subsection (A) of section 17, and subsection (A) of section 22

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  of chapter 23559 (1945), Laws of Florida, as amended, are

 2  amended, and subsection (G) is added to section 24 of said

 3  chapter, to read:

 4         Section 2.  Creation.

 5         A pension fund is hereby created for all employees of

 6  the City of Tampa, Florida, who are not now members of any

 7  other pension fund for employees of the City of Tampa,

 8  Florida, heretofore created by the Legislature of the State of

 9  Florida.

10         Section 4.  Definitions.

11         (I)  Average Monthly Salary.  The Average Monthly

12  Salary shall be determined by calculating the average of an

13  Employee's Salary for the highest 3 of the last 6 10 years of

14  Continuous Service ending on the date of retirement, and

15  dividing by 12.  In the event an Employee does not have 6 10

16  years service at the time his or her Average Monthly Salary is

17  calculated, the average for the highest 3 of the total number

18  of years employed shall be used for this definition.  If the

19  Employee does not have 3 years service, the average for years

20  employed shall be used.

21         (K)  Pension Credit.  Pension Credit shall refer to the

22  minimum number numbers of years necessary to have a vested

23  pension.  For the purposes of this Act, an Employee shall work

24  6 10 continuous years to earn Pension credit.

25         (L)  Normal Retirement Date.  This shall mean the date

26  an Employee qualifies for benefits under this Act.  For

27  Division A Employees the Normal Retirement Date shall mean the

28  date an Employee has both 6 10 years of Continuous Service and

29  has attained the age of 55 years.  For Division B Employees

30  the Normal Retirement Date shall mean the date an Employee has

31  

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  both 6 10 years of Continuous Service and attains the age of

 2  62 years.

 3         Section 9.  Deferred Pension.

 4         (A)  Division A Employees.  Any Employee who has been

 5  in the service of the City of Tampa for a period of not less

 6  than 6 10 years continuously who voluntarily terminates his

 7  employment or is discharged may elect to allow the amount

 8  contributed to the pension Fund to remain in said Fund, and

 9  upon attaining the age of 55 years shall be entitled to a

10  pension in an amount equal to the Employee's Accrued Pension

11  based upon the number of years and months of actual Service.

12         (B)  Division B Employees.  Any Employee in Division B

13  who has worked for the City of Tampa for a period of 6 10

14  years continuously who leaves the employ of the City either

15  voluntarily or by discharge, and who has not reached his 62nd

16  birthday, upon attaining his 62nd birthday, shall be entitled

17  to a pension equal to his Accrued Pension based upon the

18  number of years and months of actual Service.  However, if

19  such Employee was previously a member of Division A and elects

20  to withdraw his employee contributions in Division A, his

21  period of Service as a member of Division A shall not be used

22  to qualify under this subsection, or, if he otherwise

23  qualifies, in computing his pension, hereunder.

24         Section 10.  Early Retirement.

25         (A)  An Employee in Division B of this Plan, on or

26  after his 55th birthday, may elect to take an Early

27  Retirement, provided that he has been in the Service of the

28  City of Tampa for 6 10 continuous years.

29         Section 11.  Disability Retirement.

30         (A)  An Employee in Division A or Division B who has

31  been in the service of the City of Tampa for a period of not

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  less than 6 10 years, continuously who becomes totally and

 2  permanently disabled physically or mentally, or both, from

 3  further rendering useful and efficient service as an Employee

 4  shall be entitled to immediately receive a monthly disability

 5  pension equal to his Accrued Pension.

 6         Section 13.  Cost-of-living adjustment.

 7         (C)  Commencing January 1, 2000, and each January 1

 8  thereafter, the pension benefit due each retired Employee or

 9  beneficiary shall be adjusted as follows:

10         1.  For those retired Employees, and beneficiaries

11  thereof, in Division A, the amount of the monthly pension

12  benefit due for the 12-month period commencing on the

13  adjustment date shall be the amount of the retired Employee's

14  or beneficiary's monthly benefit being received on December 31

15  immediately preceding the adjustment date plus an amount equal

16  to 2 percent of such benefit.  Commencing January 1, 2005, the

17  2-percent adjustment amount provided for in this subparagraph

18  (C)1. shall be revised to 2.2 percent.

19         2.  For those retired Employees, and beneficiaries

20  thereof, in Division B, the amount of the monthly pension

21  benefit due for the 12-month period commencing on the

22  adjustment date shall be the amount of the retired Employee's

23  or beneficiary's monthly benefit being received on December 31

24  immediately preceding the adjustment date plus an amount equal

25  to 1 percent of such benefit.  Commencing January 1, 2005, the

26  1-percent adjustment amount provided for in this subparagraph

27  (C)2. shall be revised to 1.2 percent.

28         Section 15.  Reemployment After Termination.

29         (A)  Should any former Employee in Division A of the

30  City of Tampa who had participated in this Fund and had

31  withdrawn his contributions be reinstated or reemployed, said

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  Employee may receive credit towards retirement for any

 2  previous service under the provisions of this Act, provided

 3  said Employee shall redeposit in the pension Fund the amount

 4  refunded upon the Employee's voluntary resignation or

 5  discharge and shall pay a yearly interest rate as determined

 6  by the Board of Trustees upon the amount so redeposited for

 7  the period of time elapsing between receipt of the refunded

 8  moneys provided for herein and redeposit of the same in the

 9  pension Fund.  In order to receive credit for past service

10  under this subsection, an Employee must return to work with

11  the City within 5 years of the date of withdrawal of his

12  contributions.  Employees who have already received a refund

13  on the effective date of this Act shall have 5 years from the

14  effective date of this Act to be eligible to repurchase past

15  Service.  Such Employee cannot receive any benefit under this

16  Act unless he shall then serve continuously for a period of 6

17  10 years.  Past Service in Division A repurchased by a

18  Division B Employee shall be treated as Division B Service for

19  the purpose of calculating benefits subject to the minimum

20  benefits specific in Section 8(B)2.

21         (B)  An Employee in Division B who terminates his

22  employment with the City or is terminated, if he is reemployed

23  with the City, shall receive credit for his past Service if he

24  returns to employment with the City within 5 years of his

25  voluntary termination or discharge.  However, the Employee

26  shall work 6 10 continuous years from his date of reemployment

27  before becoming eligible to receive any benefits under this

28  Act.

29         (C)  An Employee in Division A or B who elects to take

30  a Deferred Pension as defined in Section 9 of this Act and

31  subsequently returns to employment with the City shall not

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  receive any additional benefits (in computing Average Monthly

 2  Salary, Continuous Service, or otherwise) until he shall then

 3  serve for a period of 6 10 continuous years from his date of

 4  reemployment.  However, an Employee who earned a Deferred

 5  Pension in Division A who returns to work with the City may

 6  have either his Deferred Pension in Division A considered

 7  separate and apart from his Service upon reemployment in

 8  Division B; (in which case, he may receive his Division A

 9  benefits at age 55, provided he is no longer in the employ of

10  the City); or, he may have his Service earned in Division A

11  converted to Division B Service subject to the minimum

12  benefits of Section 8(B)2.  This election shall be made at the

13  date of retirement after reemployment.

14         Section 17.  Officers.

15         (A)  Elective officers, department heads,  and

16  appointive officers of the City shall participate in the

17  pension or retirement Plan.  Such elective officers,

18  department heads, and appointive officers shall have the same

19  status for pension purposes as permanent Employees; provided,

20  however, the minimum number of years necessary for an elective

21  officer of the City to have a vested pension under the plan

22  and be eligible for the Deferred Retirement Option Program set

23  forth in section 22 of this Plan shall be 8 continuous years

24  of Service; and provided further that any such elective

25  officer, department head, or appointive officer of the City

26  who (1) shall have participated in the pension or retirement

27  Plan and acquired a vested right to a deferred proportionate

28  pension thereunder, (2) shall have at the end of any term in

29  office (a) unsuccessfully sought election, (b) not been

30  appointed, or (c) not declined appointment to any office of

31  the City, (3) shall have left his contributions in the Fund if

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1  he was a member of Division A and had contributed to the Fund,

 2  and (4) is or shall have been subsequently elected or

 3  appointed to any office or employed in any position in the

 4  City, shall resume his participation in the Plan; and the

 5  period during which such person shall have been out of office

 6  shall not constitute a break in Service, but no creditable

 7  Service shall be allowed for such period.  Pensions under this

 8  section shall be calculated in the same manner as any pensions

 9  of Employees receiving retirement benefits who were

10  subsequently reemployed (section 16).

11         Section 22.  Deferred Retirement Option Program.

12         (A)  Eligibility.  In order to be eligible for the DROP

13  option, the member must meet the following eligibility

14  criteria:

15         1.  The member must have attained the age of 55 years

16  and at least 6 10 years of continuous Service at the time the

17  member files an election under this section.  A member is

18  eligible for accumulations pursuant to the DROP for a maximum

19  of 7 years.

20         2.  The member must meet all eligibility requirements

21  for pension benefits, other than separation from Service as an

22  Employee of the City.

23         3.  Upon electing to participate in the DROP, the

24  member shall submit on forms required by the City and the

25  Board of Trustees:

26         a.  An irrevocable written election to participate in

27  the DROP, specifying a DROP benefit calculation date.  The

28  DROP benefit calculation date is used to determine the DROP

29  calculation period, which commences on the DROP benefit

30  calculation date and ends on the earlier of the member's

31  separation from service or death;

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    Florida Senate - 2004        (NP)                      SB 2384
    16-1081-04                                         See HB 1023




 1         b.  An irrevocable notice of employment termination to

 2  take effect upon the expiration of the DROP calculation

 3  period; provided that a DROP participant shall not be

 4  precluded from voluntarily terminating employment with the

 5  City before the expiration of the DROP calculation period, nor

 6  shall the City be precluded from terminating such DROP

 7  participant's employment as applicable due to disciplinary

 8  action, layoff, or other separation in accordance with the

 9  applicable collective bargaining agreement, civil service law,

10  or other applicable law;

11         c.  A properly completed application for longevity

12  retirement benefits to be calculated pursuant to Section 8 or

13  Section 10 as of the DROP benefit calculation date; and

14         d.  Any other information required by the Board of

15  Trustees.

16         4.  A member may only make one DROP election during the

17  member's lifetime.

18         Section 24.  Limitations on Amounts of Benefits.

19         (G)  Notwithstanding any other provision of this Plan,

20  benefits and limitations under this Plan shall satisfy all the

21  applicable provisions of Section 415 of the Code and the

22  regulations thereunder, which provisions and regulations are

23  incorporated by reference.

24         Section 2.  All laws or parts of laws in conflict

25  herewith are hereby repealed to the extent of such conflict.

26         Section 3.  This act shall take effect January 1, 2005.

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