HB 405

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

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