Senate Bill sb2182c1

    Florida Senate - 2006                           CS for SB 2182

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




    585-2472-06

  1                      A bill to be entitled

  2         An act relating to the Florida Retirement

  3         System; amending s. 121.0515, F.S.; authorizing

  4         certain members to purchase additional

  5         retirement credit to upgrade prior service to

  6         Special Risk Class service; providing for the

  7         calculation of contributions for such service

  8         upgrade; authorizing the employer to purchase

  9         such additional credit for the member;

10         increasing a contribution rate for certain

11         benefit change funding purposes; directing the

12         Division of Statutory Revision to adjust

13         contribution rates set forth in s. 121.71,

14         F.S.; providing a declaration of important

15         state interest; providing an effective date.

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

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19         Section 1.  Paragraph (c) is added to subsection (9) of

20  section 121.0515, Florida Statutes, to read:

21         121.0515  Special risk membership.--

22         (9)  CREDIT FOR UPGRADED SERVICE.--

23         (c)  Any member of the Special Risk Class who has

24  earned creditable service in another membership class of the

25  Florida Retirement System as a medical examiner or as an

26  employee of a law enforcement agency in a forensic discipline

27  as described in paragraph (2)(h), which service is within the

28  purview of the Special Risk Class, may purchase additional

29  retirement credit to upgrade such service to Special Risk

30  Class service, to the extent of the percentages of the

31  member's average final compensation provided in s.

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






    Florida Senate - 2006                           CS for SB 2182
    585-2472-06




 1  121.091(1)(a)2. Contributions for upgrading such service to

 2  Special Risk Class credit under this subsection shall be equal

 3  to the difference in the contributions paid and the Special

 4  Risk Class contribution rate as a percentage of gross salary

 5  in effect for the period being claimed, plus interest thereon

 6  at the rate of 6.5 percent a year, compounded annually until

 7  the date of payment. This service credit may be purchased by

 8  the employer on behalf of the member.

 9         Section 2.  Effective July 1, 2006, in order to fund

10  the benefits provided under section 1 of this act, the

11  contribution rate that applies to the Special Risk Class of

12  the Florida Retirement System shall be increased by 0.01

13  percentage points. This increase shall be in addition to all

14  other changes to such contribution rates that may be enacted

15  into law to take effect on that date. The Division of

16  Statutory Revision is directed to adjust accordingly the

17  contribution rates set forth in s. 121.71, Florida Statutes.

18         Section 3.  The Legislature finds that a proper and

19  legitimate state purpose is served when employees and retirees

20  of the state and its political subdivisions, and the

21  dependents, survivors, and beneficiaries of such employees and

22  retirees, are extended additional protections afforded by

23  governmental retirement systems. These persons must be

24  provided benefits that are fair and adequate and that are

25  managed, administered, and funded in a sound actuarial manner,

26  as required by Section 14, Article X of the State Constitution

27  and part VII of chapter 112, Florida Statutes. Therefore, the

28  Legislature hereby determines and declares that this act

29  fulfills an important state interest.

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

31  law.

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






    Florida Senate - 2006                           CS for SB 2182
    585-2472-06




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                             SB 2182

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 4  The Committee Substitute adds a statement of important state
    interest and funds the benefit change by including an
 5  additional increment of employer payroll cost in the amount of
    .01 percent.
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CODING: Words stricken are deletions; words underlined are additions.