Senate Bill sb0992

CODING: Words stricken are deletions; words underlined are additions.
    Florida Senate - 2005                                   SB 992

    By Senator Smith





    14-783-05

  1                      A bill to be entitled

  2         An act relating to the retiree health insurance

  3         subsidy; amending s. 112.363, F.S.; defining

  4         the term "the member begins drawing retirement

  5         benefits" for purposes of determining

  6         eligibility for the subsidy; revising the

  7         method of calculating the subsidy amount for

  8         certain retirees and beneficiaries; providing

  9         an effective date.

10  

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

12  

13         Section 1.  Paragraph (b) of subsection (2) and

14  paragraph (d) of subsection (3) of section 112.363, Florida

15  Statutes, are amended to read:

16         112.363  Retiree health insurance subsidy.--

17         (2)  ELIGIBILITY FOR RETIREE HEALTH INSURANCE

18  SUBSIDY.--

19         (b)  For purposes of this section, a person is deemed

20  retired from a state-administered retirement system when he or

21  she terminates employment with all employers participating in

22  the Florida Retirement System as described in s. 121.021(39)

23  and:

24         1.  For a participant of the Public Employee Optional

25  Retirement Program established under part II of chapter 121,

26  the participant meets the age or service requirements to

27  qualify for normal retirement as set forth in s. 121.021(29).

28         2.  For a member of the Florida Retirement System

29  defined benefit program, or any employee who maintains

30  creditable service under both the defined benefit program and

31  the Public Employee Optional Retirement Program, the member

                                  1

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






    Florida Senate - 2005                                   SB 992
    14-783-05




 1  begins drawing retirement benefits from the defined benefit

 2  program of the Florida Retirement System. As used in this

 3  subparagraph, the term "the member begins drawing retirement

 4  benefits" means that the retired member has received his or

 5  her monthly retirement benefit at a place of his or her

 6  choosing.

 7         (3)  RETIREE HEALTH INSURANCE SUBSIDY AMOUNT.--

 8         (d)1.  Beginning January 1, 1999, each eligible retiree

 9  or, if the retiree is deceased, his or her beneficiary who is

10  receiving a monthly benefit from such retiree's account and

11  who is a spouse, or a person who meets the definition of joint

12  annuitant in s. 121.021(28), shall receive a monthly retiree

13  health insurance subsidy payment equal to the number of years

14  of creditable service, as defined in s. 121.021(17), completed

15  at the time of retirement multiplied by $5; however, no

16  eligible retiree or such beneficiary may receive a subsidy

17  payment of more than $150 or less than $50.  If there are

18  multiple beneficiaries, the total payment must not be greater

19  than the payment to which the retiree was entitled.

20         2.  Beginning July 1, 2005, each eligible retiree of

21  the defined benefit program of the Florida Retirement System

22  or, if the retiree is deceased, his or her beneficiary who is

23  receiving a monthly benefit from such retiree's account and

24  who is a spouse, or a person who meets the definition of joint

25  annuitant in s. 121.021(28), shall receive a monthly retiree

26  health insurance subsidy payment equal to the number of years

27  of creditable service, as defined in s. 121.021(17), completed

28  at the time of retirement, in addition to a maximum of 60

29  months the retiree participated in DROP, multiplied by $5;

30  however, no eligible retiree or beneficiary may receive a

31  subsidy payment of more than $150 or less than $30. If there

                                  2

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






    Florida Senate - 2005                                   SB 992
    14-783-05




 1  are multiple beneficiaries, the total payment must not be

 2  greater than the payment to which the retiree was entitled.

 3  The health insurance subsidy amount payable to any person

 4  receiving the retiree health insurance subsidy payment on July

 5  1, 2001, may not be reduced solely by operation of this

 6  subparagraph.

 7         Section 2.  This act shall take effect July 1, 2005.

 8  

 9            *****************************************

10                          SENATE SUMMARY

11    Defines the term "the member begins drawing retirement
      benefits" for purposes of determining eligibility for the
12    retiree health insurance subsidy. Revises the method for
      calculating the subsidy, reducing the minimum payment of
13    $30 a month. However, a person receiving a subsidy on
      July 1, 2001, may not have his or her subsidy amount
14    reduced solely by reason of this act.

15  

16  

17  

18  

19  

20  

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

                                  3

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