HB 0787

CS

CHAMBER ACTION

1	The Governmental Operations Committee recommends the following:
2
3	Council/Committee Substitute
4	Remove the entire bill and insert:
5	A bill to be entitled
6	An act relating to deferred compensation programs;
7	amending s. 112.215, F.S.; revising the term "employee"
8	and defining the term "governmental entity"; authorizing
9	governmental entities, by ordinance, contract agreement,
10	or other documentation, to participate in the deferred
11	compensation plan of the state and specifying
12	responsibility of the Chief Financial Officer with respect
13	thereto; amending s. 20.121, F.S., relating to the
14	Department of Financial Services, to conform; providing
15	effective dates.
16
17	Be It Enacted by the Legislature of the State of Florida:
18
19	Section 1.  Paragraph (d) of subsection (2) of section
20	20.121, Florida Statutes, is amended to read:
21	20.121  Department of Financial Services.--There is created
22	a Department of Financial Services.
23	(2)  DIVISIONS.--The Department of Financial Services shall
24	consist of the following divisions:
25	(d)  The Division of Treasury, which shall include a Bureau
26	of Deferred Compensation responsible for administering the
27	Government Employees Deferred Compensation Plan as provided in
28	established under s. 112.215 for state employees.
29	Section 2.  Effective October 1, 2005, paragraph (d) of
30	subsection (2) of section 20.121, Florida Statutes, as amended
31	by chapter 2004-301, Laws of Florida, is amended to read:
32	20.121  Department of Financial Services.--There is created
33	a Department of Financial Services.
34	(2)  DIVISIONS.--The Department of Financial Services shall
35	consist of the following divisions:
36	(d)  The Division of Treasury, which shall include a Bureau
37	of Deferred Compensation responsible for administering the
38	Government Employees Deferred Compensation Plan as provided in
39	established under s. 112.215 for state employees.
40	Section 3.  Subsection (2), paragraphs (a) and (d) of
41	subsection (4), and subsections (5), (6), and (12) of section
42	112.215, Florida Statutes, are amended to read:
43	112.215  Government employees; deferred compensation
44	program.--
45	(2)(a)  For the purposes of this section, the term
46	"employee" means any person, whether appointed, elected, or
47	under contract, providing services for a governmental entity the
48	state; any state agency or county or other political subdivision
49	of the state; any municipality; any state university board of
50	trustees; or any constitutional county officer under s. 1(d),
51	Art. VIII of the State Constitution for which compensation or
52	statutory fees are paid.
53	(b)  "Governmental entity" means the state; any state
54	agency or county or other political subdivision of the state;
55	any municipality; any state university board of trustees; or any
56	constitutional county officer under s. 1(d), Art. VIII of the
57	State Constitution.
58	(4)(a)  The Chief Financial Officer, with the approval of
59	the State Board of Administration, shall establish such plan or
60	plans of deferred compensation for state employees of
61	governmental entities, including all such investment vehicles or
62	products incident thereto, as may be available through, or
63	offered by, qualified companies or persons, and may approve one
64	or more such plans for implementation by and on behalf of
65	governmental entities the state and their its agencies and
66	employees.
67	(d)  In accordance with such approved plan, and upon
68	contract or agreement with an eligible employee, deferrals of
69	compensation may be accomplished by payroll deductions made by
70	the appropriate officer or officers of the governmental entity
71	state, with such funds being thereafter held and administered in
72	accordance with the plan.
73	(5)  Any county, municipality, or other political
74	subdivision of the state may by ordinance, and any
75	constitutional county officer under s. 1(d), Art. VIII of the
76	State Constitution of 1968 may by contract agreement or other
77	documentation constituting approval, for itself and its
78	employees:
79	(a)  Adopt and establish for itself and its employees a
80	deferred compensation program. The ordinance shall designate an
81	appropriate official of the county, municipality, or political
82	subdivision to approve and administer a deferred compensation
83	plan or otherwise provide for such approval and administration.
84	The ordinance shall also designate a public official or body to
85	make the determinations provided for in paragraph (6)(b). If a
86	constitutional county officer elects to adopt and establish for
87	that office and its employees a deferred compensation program,
88	the constitutional county officer shall be the appropriate
89	official to make the determinations provided for in this
90	subsection and in paragraph (6)(b);.
91	(b)  Adopt the deferred compensation program of the state;
92	or
93	(c)  Both adopt and establish a deferred compensation
94	program and adopt the state's deferred compensation program.
95	(6)(a)  No deferred compensation plan of the state shall
96	become effective until approved by the State Board of
97	Administration and the Chief Financial Officer is satisfied by
98	opinion from such federal agency or agencies as may be deemed
99	necessary that the compensation deferred thereunder, and/or the
100	investment products purchased pursuant to the plan, or both will
101	not be included in the employee's taxable income under federal
102	or state law until it is actually received by such employee
103	under the terms of the plan, and that such compensation will
104	nonetheless be deemed compensation at the time of deferral for
105	the purposes of social security coverage, for the purposes of
106	the state retirement system, or and for any other retirement,
107	pension, or benefit program established by law.
108	(b)  No deferred compensation plan adopted and established
109	by of a county, municipality, other political subdivision, or
110	constitutional county officer shall become effective until the
111	appropriate official or body designated under subsection (5) is
112	satisfied by opinion from such federal agency or agencies as may
113	be deemed necessary that the compensation deferred thereunder,
114	and/or the investment products purchased pursuant to the plan,
115	or both will not be included in the employee's taxable income
116	under federal or state law until it is actually received by such
117	employee under the terms of the plan, and that such compensation
118	will nonetheless be deemed compensation at the time of deferral
119	for the purposes of social security coverage, for the purposes
120	of the retirement system of the appropriate county,
121	municipality, political subdivision, or constitutional county
122	officer, and for any other retirement, pension, or benefit
123	program established by law.
124	(12)  The Chief Financial Officer may adopt any rule
125	necessary to administer and implement this act with respect to
126	deferred compensation plans for state employees of governmental
127	entities that have adopted the state's plan.
128	Section 4.  Except as otherwise provided herein, this act
129	shall take effect upon becoming a law.

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