HB 977

1	A bill to be entitled
2	An act relating to the Florida Retirement System; amending
3	s. 121.111, F.S.; authorizing additional persons to
4	purchase credit for prior military wartime service;
5	revising the payroll contribution rates for the membership
6	classes of the system; providing a declaration of
7	important state interest; providing an effective date.
8
9	Be It Enacted by the Legislature of the State of Florida:
10
11	Section 1.  Subsection (2) of section 121.111, Florida
12	Statutes, is amended to read:
13	121.111  Credit for military service.--
14	(2)(a)  Any member whose initial date of employment is
15	before January 1, 1987, who has military service as defined in
16	s. 121.021(20)(b), and who does not claim such service under
17	subsection (1) may receive creditable service for such military
18	service if:
19	1.(a)  The member is vested;
20	2.(b)  Creditable service, not to exceed a total of 4
21	years, is claimed only as service earned in the Regular Class of
22	membership; and
23	3.(c)  The member pays into the proper retirement trust
24	fund 4 percent of gross salary, based upon his or her first year
25	of salary subsequent to July 1, 1945, that he or she has credit
26	for under this system, plus 4 percent interest thereon
27	compounded annually from the date of first creditable service
28	under this chapter until July 1, 1975, and 6.5 percent interest
29	compounded annually thereafter, until payment is made to the
30	proper retirement trust fund.
31	(b)(d)  The member may not receive credit for any wartime
32	military service if the member also receives credit for such
33	service under any federal, state, or local retirement or pension
34	system where "length of service" is a factor in determining the
35	amount of compensation received. However, credit for wartime
36	military service may be received where the member also receives
37	credit under a pension system providing retired pay for
38	nonregular service in the Armed Forces of the United States in
39	accordance with 10 U.S.C. ss. 1331 et seq., as follows:
40	1.  Any person whose retirement date under the Florida
41	Retirement System is prior to July 1, 1985, may claim such
42	service at any time, as provided in this subsection, upon
43	payment of contributions and interest as provided in
44	subparagraph (a)3. paragraph (c), with interest computed to the
45	retired member's retirement date. The benefit must shall be
46	recalculated and increased to include the additional service
47	credit granted for such wartime military service, and a lump-sum
48	payment shall be made to the retiree for the amount owed due to
49	the additional service credit, retroactive to the date of
50	retirement.
51	2.  Any person whose retirement date is on or after July 1,
52	1985, must claim such service and pay the required
53	contributions, as provided in subparagraph (a)3. paragraph (c),
54	prior to the commencement of his or her retirement benefits, as
55	provided in this subsection.
56	(c)(e)  Any member claiming credit under this subsection
57	must certify on the form prescribed by the department that
58	credit for such service has not and will not be claimed for
59	retirement purposes under any other federal, state, or local
60	retirement or pension system where "length of service" is a
61	factor in determining the amount of compensation received,
62	except if where credit for such service has been granted in a
63	pension system providing retired pay for nonregular service as
64	provided in paragraph (b) (d). If the member dies prior to
65	retirement, the member's beneficiary must make the required
66	certification before credit may be claimed. If such
67	certification is not made by the member or the member's
68	beneficiary, credit for wartime military service may shall not
69	be claimed allowed.
70	(d)(f)  Service credit awarded for wartime military service
71	equals shall be the total number of years, months, and days from
72	and including the date of entry into active duty through the
73	date of discharge from active duty, up to a maximum of 4 years.
74	If the military service includes a partial year, it must shall
75	be stated as a fraction of a year. Creditable military service
76	must shall be calculated in accordance with rule 60S-
77	2.005(2)(j), Florida Administrative Code.
78	Section 2.  Effective July 1, 2009, in order to fund the
79	benefits provided by this act:
80	(1)  The contribution rate that applies to the Regular
81	Class of the Florida Retirement System is increased by 0.11
82	percentage points.
83	(2)  The contribution rate that applies to the Special Risk
84	Class of the Florida Retirement System is increased by 0.16
85	percentage points.
86	(3)  The contribution rate that applies to the Special Risk
87	Administrative Support Class of the Florida Retirement System is
88	increased by 0.21 percentage points.
89	(4)  The contribution rate that applies to the Judicial
90	subclass of the Elected Officers' Class of the Florida
91	Retirement System is increased by 0.20 percentage points.
92	(5)  The contribution rate that applies to the legislative-
93	attorney-Cabinet subclass of the Elected Officers' Class of the
94	Florida Retirement System is increased by 0.19 percentage
95	points.
96	(6)  The contribution rate that applies to the County
97	Officers' subclass of the Elected Officers' Class of the Florida
98	Retirement System is increased by 0.22 percentage points.
99	(7)  The contribution rate that applies to the Senior
100	Management Service Class of the Florida Retirement System is
101	increased by 0.18 percentage points.
102
103	These increases are in addition to all other changes to such
104	contribution rates which may be enacted into law to take effect
105	on that date. The Division of Statutory Revision is directed to
106	adjust the contribution rates set forth in ss. 121.052, 121.055,
107	and 121.071, Florida Statutes.
108	Section 3.  The Legislature finds that a proper and
109	legitimate state purpose is served when certain employees and
110	retirees of the state and its political subdivisions, and the
111	dependents, survivors, and beneficiaries of such employees and
112	retirees, are extended the basic protections afforded by
113	governmental retirement systems. These persons must be provided
114	benefits that are fair and adequate and that are managed,
115	administered, and funded in an actuarially sound manner, as
116	required by Section 14, Article X of the State Constitution, and
117	part VII of chapter 112, Florida Statutes. Therefore, the
118	Legislature determines and declares that this act fulfills an
119	important state interest.
120	Section 4.  This act shall take effect July 1, 2009.

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