Senate Bill sb2674

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2005        (NP)                      SB 2674

    By Senators Sebesta, Lee and Crist





    16-945-05                                               See HB

  1                      A bill to be entitled

  2         An act relating to the City of Tampa,

  3         Hillsborough County; amending chapter 23559,

  4         Laws of Florida, 1945, as amended; revising the

  5         definition of "salaries or wages" to provide

  6         for an employer pickup so that the employees in

  7         Division A may make pension contributions on a

  8         pre-tax basis; revising longevity retirement

  9         provisions to provide for a multiplier of 1.15

10         percent for employees in Division B; providing

11         an effective date.

12  

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

14  

15         Section 1.  Subsection (A) of section 4 of chapter

16  23559, Laws of Florida, 1945, as last amended by chapter

17  2000-490, Laws of Florida, is amended to read:

18         Section 4.  Definitions.

19         (A)  Salaries or Wages. Salaries or Wages for the

20  purpose of this act shall be the base amounts earned by the

21  Employee, plus regular longevity bonuses, overtime, and shift

22  premiums, but exclusive of other premiums, allowances, or

23  special payments or any casual nonrecurring or unpredictable

24  bonuses. In addition to other applicable limitations set forth

25  in the Plan, and notwithstanding any other provision of the

26  Plan to the contrary, for Plan Years beginning on or after

27  January 1, 1996, the annual Salaries or Wages of each Employee

28  taken into account under the Plan shall not exceed the annual

29  compensation limit provided for in the Omnibus Budget

30  Reconciliation Act of 1993 (the "OBRA 1993 Annual Compensation

31  Limit"). The OBRA 1993 Annual Compensation Limit is $150,000,

                                  1

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






    Florida Senate - 2005        (NP)                      SB 2674
    16-945-05                                               See HB




 1  as adjusted by the Commissioner of the Internal Revenue

 2  Service for increases in the cost-of-living in accordance with

 3  Section 401(a)(17)(B) of the Internal Revenue Code of 1986, as

 4  amended (the "Code"). The cost-of-living adjustment in effect

 5  for a calendar year applies to any period, not exceeding 12

 6  months, over which Salaries or Wages are determined

 7  (determination period) beginning in such calendar year. If a

 8  determination period consists of fewer than 12 months, the

 9  OBRA 1993 Annual Compensation Limit will be multiplied by a

10  fraction, the numerator of which is the number of months in

11  the determination period, and the denominator of which is 12.

12  For Plan Years beginning on or after January 1, 1996, any

13  reference in this Plan to the limitation under Section

14  401(a)(17) of the Code shall mean the OBRA 1993 Annual

15  Compensation Limit set forth in this provision. The limitation

16  on Salaries or Wages for an "eligible Employee" shall not be

17  less than the amount which was allowed to be taken into

18  account hereunder as in effect on July 1, 1993. "Eligible

19  Employee" is an individual who was a participant in the Plan

20  before the first Plan Year beginning after December 31, 1995.

21  Commencing for earnings paid the first pay date after October

22  1, 2005, all mandatory Employee Contributions to the Fund

23  shall be picked up and paid by the City. Such contributions,

24  although designated as Employee Contributions, shall be paid

25  by the City in lieu of contributions by the Employee. The

26  contributions so assumed shall be treated as tax-deferred

27  Employer "pickup" contributions pursuant to Section 414(h) of

28  the Internal Revenue Code. Members shall not have the option

29  of receiving the contributed amounts directly instead of

30  having such contributions paid by the City to the Fund.

31  

                                  2

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






    Florida Senate - 2005        (NP)                      SB 2674
    16-945-05                                               See HB




 1         Section 2.  Section 8 of chapter 23559, Laws of

 2  Florida, 1945, as last amended by chapter 81-497, Laws of

 3  Florida, is amended to read:

 4         Section 8.  Longevity Retirement Benefits.

 5         (A)  Division A Employees: An Employee in Division A

 6  whose employment terminates on or after his or her Normal

 7  Retirement Date shall receive a monthly pension benefit equal

 8  to 2 percent of his or her Average Monthly Salary multiplied

 9  by his or her Service, plus an additional .5 percent of his or

10  her Average Monthly Salary for each additional year of Service

11  for employment after 15 years for years served on or after

12  January 1, 1975, until a maximum of 30 years of Service is

13  reached.

14         (B)  Division B Employees Employee:

15         1.  An Employee in Division B whose employment

16  terminates on or after his or her Normal Retirement Date shall

17  receive a monthly pension benefit equal to 1.15 1.1 percent of

18  his or her Average Monthly Salary multiplied by his or her

19  Service.

20         2.  An Employee in Division B who was previously a

21  member of Division A whose employment terminates on or after

22  his or her Normal Retirement Date shall receive a pension

23  calculated as in subsection (B) 1. of this section subject to

24  the following minimum benefits: said Employee shall not

25  receive less than his or her Accrued Pension in Division A

26  (calculated as in (A) 1. above), plus 1.15 1.1 percent of his

27  or her Average Monthly Salary multiplied by his or her Service

28  after his or her Date of Election. For the purposes of

29  determining an Employee's Accrued Pension in Division A under

30  this subsection, his or her Average Monthly Salary shall be

31  

                                  3

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






    Florida Senate - 2005        (NP)                      SB 2674
    16-945-05                                               See HB




 1  calculated as of the Date of Election and his or her Service

 2  shall be Service prior to the Date of Election.

 3         Section 3.  This act shall take effect October 1, 2005.

 4  

 5  

 6  

 7  

 8  

 9  

10  

11  

12  

13  

14  

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  4

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