HB 0405

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

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