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The Committee on Community Affairs (Wise) recommended the

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following amendment:

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     Senate Amendment (with title amendment)

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     Delete everything after the enacting clause

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and insert:

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     Section 1.  Paragraph (c) of subsection (4) and paragraph

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(a) of subsection (8) of section 175.032, Florida Statutes, are

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amended to read:

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     175.032  Definitions.--For any municipality, special fire

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control district, chapter plan, local law municipality, local law

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special fire control district, or local law plan under this

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chapter, the following words and phrases have the following

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meanings:

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     (4)  "Creditable service" or "credited service" means the

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aggregate number of years of service, and fractional parts of

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years of service, of any firefighter, omitting intervening years

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and fractional parts of years when such firefighter may not have

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been employed by the municipality or special fire control

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district, subject to the following conditions:

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     (c)  Credited service under this chapter shall be provided

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only for service as a firefighter, as defined in subsection (8),

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or for military service and does shall not include credit for any

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other type of service. A municipality may, by local ordinance, or

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a special fire control district may, by resolution, provide for

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the purchase of credit for military service prior to employment

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as well as for prior service as a firefighter for some other

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employer as long as a firefighter is not entitled to receive a

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benefit for such other prior service as a firefighter. For

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purposes of determining credit for prior service as a

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firefighter, in addition to service as a firefighter in this

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state, credit may be given for federal, other state, or county

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service if such prior service is recognized by the Division of

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State Fire Marshal as provided under chapter 633. The firefighter

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must provide proof to the board of trustees that such service is

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equivalent to the definition of firefighter under subsection (8).

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     (8)(a)  "Firefighter" means any person employed solely by a

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constituted fire department of any municipality or special fire

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control district who is certified as a firefighter as a condition

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of employment in accordance with the provisions of s. 633.35 and

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whose duty it is to extinguish fires, to protect life, or to

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protect property. The term includes all certified supervisory and

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command personnel whose duties include, in whole or in part, the

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supervision, training, guidance, and management responsibilities

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of full-time firefighters, part-time firefighters, or auxiliary

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firefighters, but does not include part-time firefighters or

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auxiliary firefighters. However, for purposes of this chapter

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only, "firefighter" also includes public safety officers who are

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responsible for performing both police and fire services, who are

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certified as police officers or firefighters, and who are

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certified by their employers to the Chief Financial Officer as

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participating in this chapter prior to October 1, 1979. Effective

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October 1, 1979, public safety officers who have not been

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certified as participating in this chapter are shall be

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considered police officers for retirement purposes and are shall

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be eligible to participate in chapter 185. Any plan may provide

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that the fire chief has shall have an option to participate, or

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not participate, in that plan.

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     Section 2.  Paragraph (a) of subsection (1) and subsection

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(7) of section 175.061, Florida Statutes, are amended to read:

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     175.061  Board of trustees; members; terms of office;

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meetings; legal entity; costs; attorney's fees.--For any

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municipality, special fire control district, chapter plan, local

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law municipality, local law special fire control district, or

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local law plan under this chapter:

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     (1)  In each municipality and in each special fire control

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district there is hereby created a board of trustees of the

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firefighters' pension trust fund, which shall be solely

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responsible for administering the trust fund. Effective October

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1, 1986, and thereafter:

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     (a)  The membership of the board of trustees for a chapter

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plan shall consist of five members, two of whom, unless otherwise

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prohibited by law, shall be legal residents of the municipality

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or special fire control district and, who shall be appointed by

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the governing body of the municipality or special fire control

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district, and two of whom shall be full-time firefighters as

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defined in s. 175.032 who shall be elected by a majority of the

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active firefighters who are members of the such plan. With

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respect to any chapter plan or local law plan that, on January 1,

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1997, allowed retired firefighters to vote in such elections,

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retirees may continue to vote in such elections. The fifth member

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shall be chosen by a majority of the previous four members as

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provided for herein, and such person's name shall be submitted to

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the governing body of the municipality or special fire control

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district. Upon receipt of the fifth person's name, the governing

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body of the municipality or special fire control district shall,

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as a ministerial duty, appoint such person to the board of

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trustees as its fifth member. The fifth member shall have the

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same rights as each of the other four members appointed or

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elected as herein provided, shall serve as trustee for a period

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of 2 years, and may succeed himself or herself in office. Each

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resident member shall serve as trustee for a period of 2 years,

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unless sooner replaced by the governing body at whose pleasure he

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or she shall serve, and may succeed himself or herself as a

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trustee. Each firefighter member shall serve as trustee for a

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period of 2 years, unless he or she sooner leaves the employment

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of the municipality or special fire control district as a

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firefighter, whereupon a successor shall be chosen in the same

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manner as an original appointment. Each firefighter may succeed

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himself or herself in office. The terms of office of the

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appointed and elected members of the board may be amended by

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municipal ordinance, special act of the Legislature, or

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resolution adopted by the governing body of the special fire

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control district to extend the terms of office from 2 years to 4

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years. The length of the terms of office must be the same for all

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board members.

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     (7) The board of trustees may, upon written request by a

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the retiree of the plan, or by a dependent, when authorized by

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the retiree or the retiree's beneficiary, authorize the plan

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administrator to withhold from the monthly retirement payment

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those funds that are necessary to pay for the benefits being

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received through the governmental entity from which the employee

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retired, to pay the certified bargaining agent of the

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governmental entity, and to make any payments for child support

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or alimony. Further, the board of trustees may, upon the written

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request of the retiree of the plan, authorize the plan

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administrator to withhold from the retirement payment those funds

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that are necessary to pay the accident, health, and long-term

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care insurance premiums for the retiree and the retiree's spouse

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and dependents. A retirement plan does not incur any liability

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for participation in this permissive program if its actions are

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taken in good faith.

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     Section 3.  Subsection (1) of section 175.071, Florida

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Statutes, is amended to read:

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     175.071  General powers and duties of board of

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trustees.--For any municipality, special fire control district,

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chapter plan, local law municipality, local law special fire

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control district, or local law plan under this chapter:

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     (1) The board of trustees, subject to the fiduciary

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standards in ss. 112.656, 112.661, and 518.11 and the Code of

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Ethics in ss. 112.311-112.3187, may:

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     (a)  Invest and reinvest the assets of the firefighters'

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pension trust fund in annuity and life insurance contracts of

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life insurance companies in amounts sufficient to provide, in

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whole or in part, the benefits to which all of the participants

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in the firefighters' pension trust fund are shall be entitled

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under the provisions of this chapter and pay the initial and

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subsequent premiums thereon.

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     (b)  Invest and reinvest the assets of the firefighters'

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pension trust fund in:

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     1.  Time or savings accounts of a national bank, a state

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bank insured by the Bank Insurance Fund, or a savings, building,

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and loan association insured by the Savings Association Insurance

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Fund which is administered by the Federal Deposit Insurance

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Corporation, or a state or federal chartered credit union whose

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share accounts are insured by the National Credit Union Share

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Insurance Fund.

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     2.  Obligations of the United States or obligations

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guaranteed as to principal and interest by the government of the

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United States.

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     3.  Bonds issued by the State of Israel.

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     4.  Bonds, stocks, or other evidences of indebtedness issued

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or guaranteed by a corporation organized under the laws of the

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United States, any state or organized territory of the United

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States, or the District of Columbia, provided:

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     a.  The corporation is listed on any one or more of the

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recognized national stock exchanges or on the National Market

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System of the NASDAQ Stock Market and, in the case of bonds only,

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holds a rating in one of the three highest classifications by a

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major rating service; and

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     b. The board of trustees may shall not invest more than 5

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percent of its assets in the common stock or capital stock of any

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one issuing company, nor shall the aggregate investment in any

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one issuing company exceed 5 percent of the outstanding capital

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stock of that company or the aggregate of its investments under

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this subparagraph at cost exceed 50 percent of the assets of the

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fund.

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This paragraph applies shall apply to all boards of trustees and

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participants. However, if in the event that a municipality or

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special fire control district has a duly enacted pension plan

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pursuant to, and in compliance with, s. 175.351, and the trustees

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of such plan thereof desire to vary the investment procedures

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herein, the trustees of such plan shall request a variance of the

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investment procedures as outlined herein only through a municipal

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ordinance, special act of the Legislature, or resolution by the

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governing body of the special fire control district; where a

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special act, or a municipality by ordinance adopted prior to July

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1, 1998, permits a greater than 50-percent equity investment,

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such municipality is shall not be required to comply with the

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aggregate equity investment provisions of this paragraph.

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Notwithstanding any other provision of law to the contrary,

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nothing in this section may be construed to take away any

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preexisting legal authority to make equity investments that

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exceed the requirements of this paragraph. The board of trustees

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may invest up to 25 10 percent of plan assets in foreign

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securities.

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     (c)  Issue drafts upon the firefighters' pension trust fund

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pursuant to this chapter act and rules and regulations prescribed

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by the board of trustees. All such drafts shall be consecutively

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numbered, be signed by the chair and secretary or by two

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individuals designated by the board who are subject to the same

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fiduciary standards required for the board of trustees under this

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subsection, and state upon their faces the purpose for which the

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drafts are drawn. The treasurer or depository of each

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municipality or special fire control district shall retain such

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drafts when paid, as permanent vouchers for disbursements made,

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and no money shall be otherwise drawn from the fund.

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     (d)  Convert into cash any securities of the fund.

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     (e)  Keep a complete record of all receipts and

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disbursements and of the board's acts and proceedings.

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     Section 4.  Paragraph (b) of subsection (2) of section

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175.091, Florida Statutes, is amended to read:

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     175.091  Creation and maintenance of fund.--For any

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municipality, special fire control district, chapter plan, local

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law municipality, local law special fire control district, or

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local law plan under this chapter:

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     (2)  Member contribution rates may be adjusted as follows:

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     (b)  Firefighter member contributions may be increased by

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consent of the members' collective bargaining representative or,

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if none, by majority consent of firefighter members of the fund

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to provide greater benefits. Increases in the firefighters'

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contributions may not exceed the percent of payroll increase in

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total required contributions identified in the actuarial impact

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statement provided in conjunction with the pension benefit

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improvement as required under s. 112.63.

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Nothing in this section shall be construed to require adjustment

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of member contribution rates in effect on the date this act

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becomes a law, including rates that exceed 5 percent of salary,

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provided that such rates are at least one-half of 1 percent of

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salary.

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     Section 5.  Subsection (1) of section 175.101, Florida

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Statutes, is amended to read:

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     175.101  State excise tax on property insurance premiums

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authorized; procedure.--For any municipality, special fire

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control district, chapter plan, local law municipality, local law

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special fire control district, or local law plan under this

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chapter:

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     (1)  Each municipality or special fire control district in

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this state described and classified in s. 175.041, having a

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lawfully established firefighters' pension trust fund or

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municipal fund or special fire control district fund, by whatever

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name known, providing pension benefits to firefighters as

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provided under this chapter, may assess and impose on every

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insurance company, corporation, or other insurer now engaged in

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or carrying on, or who shall hereinafter engage in or carry on,

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the business of property insurance, as shown by the records of

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the Office of Insurance Regulation of the Financial Services

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Commission, an excise tax in addition to any lawful license or

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excise tax now levied by each of the municipalities or special

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fire control districts, respectively, amounting to 1.85 percent

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of the gross amount of receipts of premiums from policyholders on

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all premiums collected on property insurance policies covering

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property within the corporate limits of such municipalities or

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within the legally defined boundaries of special fire control

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districts, respectively. Whenever the boundaries of a special

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fire control district that has lawfully established a

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firefighters' pension trust fund encompass a portion of the

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corporate territory of a municipality that has also lawfully

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established a firefighters' pension trust fund, that portion of

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the tax receipts attributable to insurance policies covering

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property situated both within the municipality and the special

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fire control district shall be given to the fire service

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provider. For the purpose of this section, the boundaries of a

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special fire control district are deemed to include an area that

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has been annexed until the completion of the 4-year period

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provided for in s. 171.093(4), or other agreed-upon extension, or

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when a special fire control district is providing services

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pursuant to an interlocal agreement executed pursuant to s.

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171.093(3). The agent shall identify the fire service provider on

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the property owner's application for insurance. Remaining

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revenues collected pursuant to this chapter shall be distributed

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to the municipality or special fire control district according to

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the location of the insured property.

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This section also applies to any municipality consisting of a

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single consolidated government which is made up of a former

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county and one or more municipalities, consolidated pursuant to

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the authority in s. 3 or s. 6(e), Art. VIII of the State

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Constitution, and to property insurance policies covering

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property within the boundaries of the consolidated government,

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regardless of whether the properties are located within one or

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more separately incorporated areas within the consolidated

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government, provided the properties are being provided fire

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protection services by the consolidated government. This section

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also applies to any municipality, as provided in s.

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175.041(3)(c), which has entered into an interlocal agreement to

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receive fire protection services from another municipality

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participating under this chapter. The excise tax may be levied on

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all premiums collected on property insurance policies covering

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property located within the corporate limits of the municipality

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receiving the fire protection services, but is will be available

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for distribution to the municipality providing the fire

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protection services.

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     Section 6.  Paragraph (c) of subsection (1) of section

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175.171, Florida Statutes, is amended to read:

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     175.171  Optional forms of retirement income.--For any

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municipality, special fire control district, chapter plan, local

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law municipality, local law special fire control district, or

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local law plan under this chapter:

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     (1)  In lieu of the amount and form of retirement income

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payable in the event of normal or early retirement as specified

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in s. 175.162, a firefighter, upon written request to the board

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of trustees and subject to the approval of the board of trustees,

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may elect to receive a retirement income or benefit of equivalent

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actuarial value payable in accordance with one of the following

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options:

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     (c)  Such other amount and form of retirement payments or

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benefits as, in the opinion of the board of trustees, will best

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meet the circumstances of the retiring firefighter.

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     1.  The firefighter upon electing any option of this section

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shall will designate the joint annuitant pensioner or beneficiary

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(or beneficiaries) to receive the benefit, if any, payable under

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the plan in the event of his or her death, and may will have the

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power to change such designation from time to time, but any such

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change shall be deemed a new election and is will be subject to

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approval by the board of trustees. Such designation must will

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name a joint annuitant pensioner or one or more primary

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beneficiaries where applicable. If a firefighter has elected an

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option with a joint annuitant pensioner or beneficiary and his or

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her retirement income benefits have commenced, the firefighter

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may thereafter change the designated joint annuitant pensioner or

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beneficiary, but only if the board of trustees consents to such

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change and if the joint annuitant pensioner last previously

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designated by the firefighter is alive when the firefighter files

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with the board of trustees a request for such change.

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     2. The consent of a firefighter's joint annuitant pensioner

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or beneficiary to any such change is shall not be required.

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     3. The board of trustees may request such evidence of the

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good health of the joint annuitant pensioner that is being

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removed as it may require and the amount of the retirement income

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payable to the firefighter upon designation of a new joint

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annuitant pensioner shall be actuarially redetermined taking into

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account the age and sex of the former joint annuitant pensioner,

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the new joint annuitant pensioner, and the firefighter. Each such

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designation must will be made in writing on a form prepared by

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the board of trustees and on completion must will be filed with

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the board of trustees. If In the event that no designated

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beneficiary survives the firefighter, such benefits as are

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payable in the event of the death of the firefighter subsequent

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to his or her retirement shall be paid as provided in s. 175.181.

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     4. Notwithstanding the provisions of this paragraph, a

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retired firefighter may change his or her designation of joint

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annuitant or beneficiary up to two times as provided in s.

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175.333 without the approval of the board of trustees or the

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prior joint annuitant or beneficiary. The retiree does not have

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to provide proof of the good health of the joint annuitant or of

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the beneficiary being removed, and the joint annuitant or

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beneficiary does not have to be living.

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     Section 7.  Section 175.361, Florida Statutes, is amended to

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read:

343

     175.361  Termination of plan and distribution of fund.--For

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any municipality, special fire control district, chapter plan,

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local law municipality, local law special fire control district,

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or local law plan under this chapter, the plan may be terminated

347

by the municipality or special fire control district. Upon

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termination of the plan by the municipality or special fire

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control district for any reason or because of a transfer, merger,

350

or consolidation of governmental units, services, or functions as

351

provided in chapter 121, or upon written notice by the

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municipality or special fire control district to the board of

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trustees that contributions under the plan are being permanently

354

discontinued, the rights of all employees to benefits accrued to

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the date of such termination and the amounts credited to the

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employees' accounts are nonforfeitable. The fund shall be

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apportioned and distributed in accordance with the following

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procedures:

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     (1)  The board of trustees shall determine the date of

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distribution and the asset value required to fund all the

361

nonforfeitable benefits to be distributed, after taking into

362

account the expenses of such distribution. The board shall inform

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the municipality or special fire control district if additional

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assets are required, in which event the municipality or special

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fire control district must continue to financially support the

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plan until all nonforfeitable benefits have been funded.

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     (2)  The board of trustees shall determine the method of

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distribution of the asset value, that is, whether distribution

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shall be by payment in cash, by the maintenance of another or

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substituted trust fund, by the purchase of insured annuities, or

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otherwise, for each firefighter entitled to benefits under the

372

plan as specified in subsection (3).

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     (3) The board of trustees shall distribute apportion the

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asset value as of the date of termination in the manner set forth

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in this subsection, on the basis that the amount required to

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provide any given retirement income means shall mean the

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actuarially computed single-sum value of such retirement income,

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except that if the method of distribution determined under

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subsection (2) involves the purchase of an insured annuity, the

380

amount required to provide the given retirement income means

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shall mean the single premium payable for such annuity. The

382

actuarial single-sum value may not be less than the employee's

383

accumulated contributions to the plan, with interest if provided

384

by the plan, less the value of any plan benefits previously paid

385

to the employee.

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     (a) Apportionment shall first be made in respect of each

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retired firefighter receiving a retirement income hereunder on

388

such date, each person receiving a retirement income on such date

389

on account of a retired (but since deceased) firefighter, and

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each firefighter who has, by such date, become eligible for

391

normal retirement but has not yet retired, in the amount required

392

to provide such retirement income, provided that, if such asset

393

value is less than the aggregate of such amounts, such amounts

394

shall be proportionately reduced so that the aggregate of such

395

reduced amounts will be equal to such asset value.

396

     (b) If there is any asset value remaining after the

397

apportionment under paragraph (a), apportionment shall next be

398

made in respect of each firefighter in the service of the

399

municipality or special fire control district on such date who

400

has completed at least 10 years of credited service, in the

401

firefighters' pension trust fund for at least 10 years, and who

402

is not entitled to an apportionment under paragraph (a), in the

403

amount required to provide the actuarial equivalent of the

404

accrued normal retirement income, based on the firefighter's

405

credited service and earnings to such date, and each former

406

participant then entitled to a benefit under the provisions of s.

407

175.211 who has not by such date reached his or her normal

408

retirement date, in the amount required to provide the actuarial

409

equivalent of the accrued normal retirement income to which he or

410

she is entitled under s. 175.211; provided that, if such

411

remaining asset value is less than the aggregate of the amounts

412

apportioned hereunder, such latter amounts shall be

413

proportionately reduced so that the aggregate of such reduced

414

amounts will be equal to such remaining asset value.

415

     (c) If there is any asset value after the apportionments

416

under paragraphs (a) and (b), apportionment shall lastly be made

417

in respect of each firefighter in the service of the municipality

418

or special fire control district on such date who is not entitled

419

to an apportionment under paragraphs (a) and (b) in the amount

420

equal to the firefighter's total contributions to the plan to

421

date of termination; provided that, if such remaining asset value

422

is less than the aggregate of the amounts apportioned hereunder,

423

such latter amounts shall be proportionately reduced so that the

424

aggregate of such reduced amounts will be equal to such remaining

425

asset value.

426

     (4)(d) If In the event that there is asset value remaining

427

after the full distribution apportionment specified in subsection

428

(3), and after the payment of any expenses incurred with such

429

distribution paragraphs (a), (b), and (c), such excess shall be

430

returned to the municipality or special fire control district,

431

less return to the state of the state's contributions, provided

432

that, if the excess is less than the total contributions made by

433

the municipality or special fire control district and the state

434

to date of termination of the plan, such excess shall be divided

435

proportionately to the total contributions made by the

436

municipality or special fire control district and the state.

437

     (5)(4) The board of trustees shall distribute, in

438

accordance with the manner of distribution determined under

439

subsection (2), the amounts determined apportioned under

440

subsection (3).

441

442

If, after a period of 24 months after the date on which the plan

443

terminated or the date on which the board received written notice

444

that the contributions thereunder were being permanently

445

discontinued, the municipality or special fire control district

446

or the board of trustees of the firefighters' pension trust fund

447

affected has not complied with all the provisions in this

448

section, the Department of Management Services division shall

449

effect the termination of the fund in accordance with this

450

section.

451

     Section 8.  Paragraph (c) of subsection (5) of section

452

185.02, Florida Statutes, is amended to read:

453

     185.02  Definitions.--For any municipality, chapter plan,

454

local law municipality, or local law plan under this chapter, the

455

following words and phrases as used in this chapter shall have

456

the following meanings, unless a different meaning is plainly

457

required by the context:

458

     (5)  "Creditable service" or "credited service" means the

459

aggregate number of years of service and fractional parts of

460

years of service of any police officer, omitting intervening

461

years and fractional parts of years when such police officer may

462

not have been employed by the municipality subject to the

463

following conditions:

464

     (c)  Credited service under this chapter shall be provided

465

only for service as a police officer, as defined in subsection

466

(11), or for military service and does shall not include credit

467

for any other type of service. A municipality may, by local

468

ordinance, provide for the purchase of credit for military

469

service occurring prior to employment as well as prior service as

470

a police officer for some other employer as long as the police

471

officer is not entitled to receive a benefit for such other prior

472

service as a police officer. For purposes of determining credit

473

for prior service as a police officer, in addition to service as

474

a police officer in this state, credit may be given for federal,

475

other state, or county service as long as such prior service is

476

recognized by the Criminal Justice Standards and Training

477

Commission within the Department of Law Enforcement as provided

478

under chapter 943. The police officer must provide proof to the

479

board of trustees that such service is equivalent to the

480

definition of police officer under subsection (11).

481

     Section 9.  Paragraph (a) of subsection (1) and subsection

482

(6) of section 185.05, Florida Statutes, are amended to read:

483

     185.05  Board of trustees; members; terms of office;

484

meetings; legal entity; costs; attorney's fees.--For any

485

municipality, chapter plan, local law municipality, or local law

486

plan under this chapter:

487

     (1)  In each municipality described in s. 185.03 there is

488

hereby created a board of trustees of the municipal police

489

officers' retirement trust fund, which shall be solely

490

responsible for administering the trust fund. Effective October

491

1, 1986, and thereafter:

492

     (a)  The membership of the board of trustees for chapter

493

plans shall consist of five members, two of whom, unless

494

otherwise prohibited by law, shall be legal residents of the

495

municipality and, who shall be appointed by the legislative body

496

of the municipality, and two of whom shall be police officers as

497

defined in s. 185.02 who shall be elected by a majority of the

498

active police officers who are members of the such plan. With

499

respect to any chapter plan or local law plan that, on January 1,

500

1997, allowed retired police officers to vote in such elections,

501

retirees may continue to vote in such elections. The fifth member

502

shall be chosen by a majority of the previous four members, and

503

such person's name shall be submitted to the legislative body of

504

the municipality. Upon receipt of the fifth person's name, the

505

legislative body of the municipality shall, as a ministerial

506

duty, appoint such person to the board of trustees as its fifth

507

member. The fifth member shall have the same rights as each of

508

the other four members appointed or elected as herein provided,

509

shall serve as trustee for a period of 2 years, and may succeed

510

himself or herself in office. Each resident member shall serve as

511

trustee for a period of 2 years, unless sooner replaced by the

512

legislative body at whose pleasure the member shall serve, and

513

may succeed himself or herself as a trustee. Each police officer

514

member shall serve as trustee for a period of 2 years, unless he

515

or she sooner leaves the employment of the municipality as a

516

police officer, whereupon the legislative body of the

517

municipality shall choose a successor shall be chosen in the same

518

manner as an original appointment. Each police officer may

519

succeed himself or herself in office. The terms of office of the

520

appointed and elected members of the board may be amended by

521

municipal ordinance or special act of the Legislature to extend

522

the terms of office from 2 years to 4 years. The length of the

523

terms of office must be the same for all board members.

524

     (6) The board of trustees may, upon written request by a

525

the retiree of the plan, or by a dependent, when authorized by

526

the retiree or the retiree's beneficiary, authorize the plan

527

administrator to withhold from the monthly retirement payment

528

those funds that are necessary to pay for the benefits being

529

received through the governmental entity from which the employee

530

retired, to pay the certified bargaining agent of the

531

governmental entity, and to make any payments for child support

532

or alimony. Further, the board of trustees may, upon the written

533

request of the retiree of the plan, authorize the plan

534

administrator to withhold from the retirement payment those funds

535

that are necessary to pay the accident, health, and long-term

536

care insurance premiums for the retiree and the retiree's spouse

537

and dependents. A retirement plan does not incur any liability

538

for participation in this permissive program if its actions are

539

taken in good faith.

540

     Section 10.  Subsection (1) of section 185.06, Florida

541

Statutes, is amended to read:

542

     185.06  General powers and duties of board of trustees.--For

543

any municipality, chapter plan, local law municipality, or local

544

law plan under this chapter:

545

     (1) The board of trustees, subject to the fiduciary

546

standards in ss. 112.656, 112.661, and 518.11 and the Code of

547

Ethics in ss. 112.311-112.3187, may:

548

     (a)  Invest and reinvest the assets of the retirement trust

549

fund in annuity and life insurance contracts of life insurance

550

companies in amounts sufficient to provide, in whole or in part,

551

the benefits to which all of the participants in the municipal

552

police officers' retirement trust fund are shall be entitled

553

under the provisions of this chapter, and pay the initial and

554

subsequent premiums thereon.

555

     (b)  Invest and reinvest the assets of the retirement trust

556

fund in:

557

     1.  Time or savings accounts of a national bank, a state

558

bank insured by the Bank Insurance Fund, or a savings and loan

559

association insured by the Savings Association Insurance Fund

560

which is administered by the Federal Deposit Insurance

561

Corporation, or a state or federal chartered credit union whose

562

share accounts are insured by the National Credit Union Share

563

Insurance Fund.

564

     2.  Obligations of the United States or obligations

565

guaranteed as to principal and interest by the United States.

566

     3.  Bonds issued by the State of Israel.

567

     4.  Bonds, stocks, or other evidences of indebtedness issued

568

or guaranteed by a corporation organized under the laws of the

569

United States, any state or organized territory of the United

570

States, or the District of Columbia, provided:

571

     a.  The corporation is listed on any one or more of the

572

recognized national stock exchanges or on the National Market

573

System of the NASDAQ Stock Market and, in the case of bonds only,

574

holds a rating in one of the three highest classifications by a

575

major rating service; and

576

     b. The board of trustees may shall not invest more than 5

577

percent of its assets in the common stock or capital stock of any

578

one issuing company, nor shall the aggregate investment in any

579

one issuing company exceed 5 percent of the outstanding capital

580

stock of the company or the aggregate of its investments under

581

this subparagraph at cost exceed 50 percent of the fund's assets.

582

583

This paragraph applies shall apply to all boards of trustees and

584

participants. However, if in the event that a municipality has a

585

duly enacted pension plan pursuant to, and in compliance with, s.

586

185.35 and the trustees of such plan thereof desire to vary the

587

investment procedures herein, the trustees of such plan shall

588

request a variance of the investment procedures as outlined

589

herein only through a municipal ordinance or special act of the

590

Legislature; where a special act, or a municipality by ordinance

591

adopted prior to July 1, 1998, permits a greater than 50-percent

592

equity investment, such municipality is shall not be required to

593

comply with the aggregate equity investment provisions of this

594

paragraph. Notwithstanding any other provision of law to the

595

contrary, nothing in this section may be construed to take away

596

any preexisting legal authority to make equity investments that

597

exceed the requirements of this paragraph. The board of trustees

598

may invest up to 25 10 percent of plan assets in foreign

599

securities.

600

     (c)  Issue drafts upon the municipal police officers'

601

retirement trust fund pursuant to this chapter act and rules and

602

regulations prescribed by the board of trustees. All such drafts

603

shall be consecutively numbered, be signed by the chair and

604

secretary or by two individuals designated by the board who are

605

subject to the same fiduciary standards required for the board of

606

trustees under this subsection, and state upon their faces the

607

purposes for which the drafts are drawn. The city treasurer or

608

other depository shall retain such drafts when paid, as permanent

609

vouchers for disbursements made, and no money shall otherwise be

610

drawn from the fund.

611

     (d)  Finally decide all claims to relief under the board's

612

rules and regulations and pursuant to the provisions of this

613

chapter act.

614

     (e)  Convert into cash any securities of the fund.

615

     (f)  Keep a complete record of all receipts and

616

disbursements and of the board's acts and proceedings.

617

     Section 11.  Paragraph (b) of subsection (2) of section

618

185.07, Florida Statutes, is amended to read:

619

     185.07  Creation and maintenance of fund.--For any

620

municipality, chapter plan, local law municipality, or local law

621

plan under this chapter:

622

     (2)  Member contribution rates may be adjusted as follows:

623

     (b)  Police officer member contributions may be increased by

624

consent of the members' collective bargaining representative or,

625

if none, by majority consent of police officer members of the

626

fund to provide greater benefits. Increases in the police

627

officers' contributions may not exceed the percent of payroll

628

increase in total required contributions identified in the

629

actuarial impact statement provided in conjunction with the

630

pension benefit improvement required under s. 112.63.

631

632

Nothing in this section shall be construed to require adjustment

633

of member contribution rates in effect on the date this act

634

becomes a law, including rates that exceed 5 percent of salary,

635

provided that such rates are at least one-half of 1 percent of

636

salary.

637

     Section 12.  Subsection (1) of section 185.161, Florida

638

Statutes, is amended to read:

639

     185.161  Optional forms of retirement income.--For any

640

municipality, chapter plan, local law municipality, or local law

641

plan under this chapter:

642

     (1)(a)  In lieu of the amount and form of retirement income

643

payable in the event of normal or early retirement as specified

644

in s. 185.16, a police officer, upon written request to the board

645

of trustees and subject to the approval of the board of trustees,

646

may elect to receive a retirement income or benefit of equivalent

647

actuarial value payable in accordance with one of the following

648

options:

649

     1.  A retirement income of larger monthly amount, payable to

650

the police officer for his or her lifetime only.

651

     2.  A retirement income of a modified monthly amount,

652

payable to the police officer during the joint lifetime of the

653

police officer and a joint annuitant pensioner designated by the

654

police officer, and following the death of either of them, 100

655

percent, 75 percent, 66 2/3 percent, or 50 percent of such

656

monthly amount payable to the survivor for the lifetime of the

657

survivor.

658

     3.  Such other amount and form of retirement payments or

659

benefit as, in the opinion of the board of trustees, will best

660

meet the circumstances of the retiring police officer.

661

     (b)  The police officer upon electing any option of this

662

section shall will designate the joint annuitant pensioner or

663

beneficiary (or beneficiaries) to receive the benefit, if any,

664

payable under the plan in the event of the police officer's

665

death, and may will have the power to change such designation

666

from time to time but any such change shall be deemed a new

667

election and is will be subject to approval by the pension

668

committee. Such designation must will name a joint annuitant

669

pensioner or one or more primary beneficiaries where applicable.

670

If a police officer has elected an option with a joint annuitant

671

pensioner or beneficiary and his or her retirement income

672

benefits have commenced, he or she may thereafter change the

673

designated joint annuitant pensioner or beneficiary but only if

674

the board of trustees consents to such change and if the joint

675

annuitant pensioner last previously designated by the police

676

officer is alive when he or she files with the board of trustees

677

a request for such change. The consent of a police officer's

678

joint annuitant pensioner or beneficiary to any such change is

679

shall not be required. The board of trustees may request such

680

evidence of the good health of the joint annuitant pensioner that

681

is being removed as it may require and the amount of the

682

retirement income payable to the police officer upon the

683

designation of a new joint annuitant pensioner shall be

684

actuarially redetermined taking into account the ages and sex of

685

the former joint annuitant pensioner, the new joint annuitant

686

pensioner, and the police officer. Each such designation must

687

will be made in writing on a form prepared by the board of

688

trustees, and on completion must will be filed with the board of

689

trustees. If In the event that no designated beneficiary survives

690

the police officer, such benefits as are payable in the event of

691

the death of the police officer subsequent to his or her

692

retirement shall be paid as provided in s. 185.162.

693

     (c) Notwithstanding paragraph (b), the retired police

694

officer may change his or her designation of joint annuitant or

695

beneficiary up to two times as provided in s. 185.341 without the

696

approval of the board of trustees or the prior joint annuitant or

697

beneficiary. The retiree does not have to provide proof of good

698

health of the joint annuitant or of the beneficiary being

699

removed, and the joint annuitant or beneficiary does not have to

700

be living.

701

     Section 13.  Section 185.37, Florida Statutes, is amended to

702

read:

703

     185.37  Termination of plan and distribution of fund.--For

704

any municipality, chapter plan, local law municipality, or local

705

law plan under this chapter, the plan may be terminated by the

706

municipality. Upon termination of the plan by the municipality

707

for any reason, or because of a transfer, merger, or

708

consolidation of governmental units, services, or functions as

709

provided in chapter 121, or upon written notice to the board of

710

trustees by the municipality that contributions under the plan

711

are being permanently discontinued, the rights of all employees

712

to benefits accrued to the date of such termination or

713

discontinuance and the amounts credited to the employees'

714

accounts are nonforfeitable. The fund shall be apportioned and

715

distributed in accordance with the following procedures:

716

     (1)  The board of trustees shall determine the date of

717

distribution and the asset value required to fund all the

718

nonforfeitable benefits to be distributed, after taking into

719

account the expenses of such distribution. The board shall inform

720

the municipality if additional assets are required, in which

721

event the municipality must continue to financially support the

722

plan until all nonforfeitable benefits have been funded.

723

     (2)  The board of trustees shall determine the method of

724

distribution of the asset value, that is, whether distribution

725

shall be by payment in cash, by the maintenance of another or

726

substituted trust fund, by the purchase of insured annuities, or

727

otherwise, for each police officer entitled to benefits under the

728

plan, as specified in subsection (3).

729

     (3) The board of trustees shall distribute apportion the

730

asset value as of the date of termination in the manner set forth

731

in this subsection, on the basis that the amount required to

732

provide any given retirement income means shall mean the

733

actuarially computed single-sum value of such retirement income,

734

except that if the method of distribution determined under

735

subsection (2) involves the purchase of an insured annuity, the

736

amount required to provide the given retirement income means

737

shall mean the single premium payable for such annuity. The

738

actuarial single sum value may not be less than the employee's

739

accumulated contributions to the plan, with interest if provided

740

by the plan, less the value of any plan benefits previously paid

741

to the employee.

742

     (a) Apportionment shall first be made in respect of each

743

retired police officer receiving a retirement income hereunder on

744

such date, each person receiving a retirement income on such date

745

on account of a retired (but since deceased) police officer, and

746

each police officer who has, by such date, become eligible for

747

normal retirement but has not yet retired, in the amount required

748

to provide such retirement income, provided that, if such asset

749

value is less than the aggregate of such amounts, such amounts

750

shall be proportionately reduced so that the aggregate of such

751

reduced amounts will be equal to such asset value.

752

     (b) If there is any asset value remaining after the

753

apportionment under paragraph (a), apportionment shall next be

754

made in respect of each police officer in the service of the

755

municipality on such date who has completed at least 10 years of

756

credited service, in the municipal police officers' retirement

757

trust fund for at least 10 years, and who is not entitled to an

758

apportionment under paragraph (a), in the amount required to

759

provide the actuarial equivalent of the accrued normal retirement

760

income, based on the police officer's credited service and

761

earnings to such date, and each former participant then entitled

762

to a benefit under the provisions of s. 185.19 who has not by

763

such date reached his or her normal retirement date, in the

764

amount required to provide the actuarial equivalent of the

765

accrued normal retirement income to which he or she is entitled

766

under s. 185.19, provided that, if such remaining asset value is

767

less than the aggregate of the amounts apportioned hereunder,

768

such latter amounts shall be proportionately reduced so that the

769

aggregate of such reduced amounts will be equal to such remaining

770

asset value.

771

     (c) If there is an asset value after the apportionments

772

under paragraphs (a) and (b), apportionment shall lastly be made

773

in respect of each police officer in the service of the

774

municipality on such date who is not entitled to an apportionment

775

under paragraphs (a) and (b) in the amount equal to the police

776

officer's total contributions to the plan to date of termination,

777

provided that, if such remaining asset value is less than the

778

aggregate of the amounts apportioned hereunder, such latter

779

amounts shall be proportionately reduced so that the aggregate of

780

such reduced amounts will be equal to such remaining asset value.

781

     (4)(d) If In the event that there is asset value remaining

782

after the full distribution apportionment specified in subsection

783

(3), and after the payment of any expenses incurred with such

784

distribution paragraphs (a), (b), and (c), such excess shall be

785

returned to the municipality, less return to the state of the

786

state's contributions, provided that, if the excess is less than

787

the total contributions made by the municipality and the state to

788

date of termination of the plan, such excess shall be divided

789

proportionately to the total contributions made by the

790

municipality and the state.

791

     (5)(4) The board of trustees shall distribute, in

792

accordance with the manner of distribution determined under

793

subsection (2), the amounts determined apportioned under

794

subsection (3).

795

796

If, after a period of 24 months after the date on which the plan

797

terminated or the date on which the board received written notice

798

that the contributions thereunder were being permanently

799

discontinued, the municipality or the board of trustees of the

800

municipal police officers' retirement trust fund affected has not

801

complied with all the provisions in this section, the Department

802

of Management Services division shall effect the termination of

803

the fund in accordance with this section.

804

     Section 14.  This act shall take effect July 1, 2008.

805

806

================ T I T L E  A M E N D M E N T ================

807

And the title is amended as follows:

808

     Delete everything before the enacting clause

809

and insert:

810

A bill to be entitled

811

An act relating to firefighter and municipal police

812

pensions; amending s. 175.032, F.S.; revising the

813

definition of "creditable service" for purposes of

814

determining credit for prior service as a firefighter;

815

revising the definition of "firefighter"; amending s.

816

175.061, F.S.; authorizing the terms of office for the

817

board of trustees of the firefighters' pension trust fund

818

to be revised under certain circumstances; authorizing the

819

firefighters' pension trust fund plan administrator to

820

withhold funds to pay for premiums for accident, health,

821

and long-term care insurance for the retiree and the

822

retiree's spouse and dependents; providing an exemption

823

from liability under certain circumstances; amending s.

824

175.071, F.S.; specifying that trustees are subject to

825

certain standards; authorizing certain individuals to sign

826

drafts issued upon the firefighters' pension trust fund;

827

amending s. 175.091, F.S.; providing guidelines for the

828

adjustment of firefighter member contribution rates;

829

amending s. 175.101, F.S.; clarifying boundaries of a

830

special fire control district for purposes of assessment

831

and imposition of the excise tax on property insurance

832

premiums; amending s. 175.171, F.S.; authorizing retired

833

firefighters to change their designation of joint

834

annuitant or beneficiary up to two times without the

835

approval of the board of trustees or the prior joint

836

annuitant or beneficiary; amending s. 175.361, F.S.;

837

revising fund distribution procedures with respect to plan

838

termination; requiring the Department of Management

839

Services to effect the termination of the fund; amending

840

s. 185.02, F.S.; revising the definition of "creditable

841

service" for purposes of determining credit for prior

842

service as a police officer; amending s. 185.05, F.S.;

843

revising municipal police officers' retirement trust fund

844

board of trustee selection procedures; authorizing the

845

terms of office for the board of trustees of the municipal

846

police officers' retirement trust fund to be revised under

847

certain circumstances; authorizing the plan administrator

848

to withhold funds to pay for premiums for accident,

849

health, and long-term care insurance for the retiree and

850

the retiree's spouse and dependents; providing an

851

exemption from liability under certain circumstances;

852

amending s. 185.06, F.S.; specifying that trustees are

853

subject to certain standards; authorizing certain

854

individuals to sign drafts issued upon the municipal

855

police officers' retirement trust fund; amending s.

856

185.07, F.S.; providing guidelines for the adjustment of

857

police officer member contribution rates; amending s.

858

185.161, F.S.; authorizing retired police officers to

859

change their designation of joint annuitant or beneficiary

860

up to two times without the approval of the board of

861

trustees or the prior joint annuitant or beneficiary;

862

amending s. 185.37, F.S.; revising fund distribution

863

procedures with respect to plan termination; requiring

864

that the Department of Management Services effect the

865

termination of the fund; providing an effective date.

4/14/2008  4:18:00 PM     578-07375-08