HB 365

1
A bill to be entitled
2An act relating to public employees; amending s.
3112.18, F.S.; revising conditions under which certain
4firefighters, law enforcement officers, correctional
5officers, or correctional probations officers who
6suffer or have died from any of specified medical
7conditions are presumed to have been injured or killed
8accidentally and in the line of duty; revising the
9conditions under which the presumption with respect to
10disability due to any of specified diseases is against
11occurrence in the line of duty for purposes of
12workers' compensation claims; changing an evidentiary
13standard; amending s. 175.061, F.S.; providing duties
14of the board of trustees relating to the reporting of
15expenses and the operation under an administrative
16expense budget; amending s. 175.071, F.S.; revising
17requirements of the board relating to the employment
18of legal counsel, actuaries, and other advisers;
19amending s. 175.101, F.S.; providing for the
20discontinuation of excise taxes under certain
21conditions; amending s. 175.231, F.S.; providing
22medical conditions or behaviors that are appropriate
23for consideration in denying or overcoming the
24presumption of accidental disabilities or death
25suffered in the line of duty for firefighters;
26changing an evidentiary standard; amending s. 175.351,
27F.S.; revising provisions relating to benefits paid
28from the premium tax by a municipality or special fire
29control district that has its own pension plan;
30providing definitions; providing a process for
31determining the allocation of the premium tax revenues
32to a supplemental plan; amending s. 175.361, F.S.;
33providing certain powers and responsibilities to
34municipalities and special fire control districts
35relating to termination of plans and distribution of
36funds; amending s. 185.02, F.S.; revising the
37definition of the term "compensation" or "salary" for
38purposes of police officers' pensions; amending s.
39185.05, F.S.; authorizing a municipality to change the
40municipal representation of the board of trustees
41pursuant to certain requirements; providing duties of
42the board of trustees relating to the reporting of
43expenses and the operation under an administrative
44expense budget; amending s. 185.06, F.S.; revising
45requirements of the board relating to the employment
46of legal counsel, actuaries, and other advisers;
47amending s. 185.08, F.S.; providing for the
48discontinuation of excise taxes under certain
49conditions; amending s. 185.34, F.S.; providing
50medical conditions or behaviors that are appropriate
51for consideration in denying or overcoming the
52presumption of accidental disabilities or death
53suffered in the line of duty for police officers;
54changing an evidentiary standard; amending s. 185.35,
55F.S.; revising provisions relating to benefits paid by
56a municipality that has its own pension plan;
57providing definitions; providing a process for
58determining the allocation of the premium tax revenues
59to a supplemental plan; amending s. 185.37, F.S.;
60providing certain powers and responsibilities to
61municipalities relating to termination of plans and
62distribution of funds; providing a declaration of
63important state interest; providing an effective date.
64
65Be It Enacted by the Legislature of the State of Florida:
66
67     Section 1.  Section 112.18, Florida Statutes, is amended to
68read:
69     112.18  Firefighters and law enforcement or correctional
70officers; special provisions relative to disability.-
71     (1)(a)  Any condition or impairment of health of any
72Florida state, municipal, county, port authority, special tax
73district, or fire control district firefighter or any law
74enforcement officer, correctional officer, or correctional
75probation officer as defined in s. 943.10(1), (2), or (3), who
76has been employed by the current employer for at least 5 years
77and who is less than 37 years of age, caused by tuberculosis,
78heart disease, or hypertension resulting in total or partial
79disability or death shall be presumed to have been accidental
80and to have been suffered in the line of duty unless the
81contrary be shown by a preponderance of the competent evidence.
82However, any such firefighter, correctional officer,
83correctional probation officer, or law enforcement officer must
84have successfully passed a physical examination upon entering
85into any such service as a firefighter, correctional officer,
86correctional probation officer, or law enforcement officer,
87which examination failed to reveal any evidence of any such
88condition. Risk factors and epidemiological data relating to
89nonwork-related conditions unique to an individual, such as
90blood cholesterol, body mass index, history of tobacco and
91alcohol use, and other medical conditions or behaviors that are
92associated with the disease or condition subject to the
93presumption, are appropriate for consideration in denying or
94overcoming the presumption. Such presumption does not apply to
95benefits payable under or granted in a policy of life insurance
96or disability insurance, unless the insurer and insured have
97negotiated for such additional benefits to be included in the
98policy contract.
99     (b)1.  For any workers' compensation claim filed under this
100section and chapter 440 occurring on or after July 1, 2010, a
101firefighter, law enforcement officer, correctional officer, or
102correctional probation officer as defined in s. 943.10(1), (2),
103or (3) suffering from tuberculosis, heart disease, or
104hypertension is presumed not to have incurred such disease in
105the line of duty as provided in this section if the firefighter,
106law enforcement officer, correctional officer, or correctional
107probation officer:
108     a.  Departed in a material fashion from the prescribed
109course of treatment of his or her personal physician and the
110departure is demonstrated to have resulted in a significant
111aggravation of the tuberculosis, heart disease, or hypertension
112resulting in disability or increasing the disability or need for
113medical treatment; or
114     b.  Was previously compensated pursuant to this section and
115chapter 440 for tuberculosis, heart disease, or hypertension and
116thereafter sustains and reports a new compensable workers'
117compensation claim under this section and chapter 440, and the
118firefighter, law enforcement officer, correctional officer, or
119correctional probation officer has departed in a material
120fashion from the prescribed course of treatment of an authorized
121physician for the preexisting workers' compensation claim and
122the departure is demonstrated to have resulted in a significant
123aggravation of the tuberculosis, heart disease, or hypertension
124resulting in disability or increasing the disability or need for
125medical treatment.
126     2.  As used in this paragraph, "prescribed course of
127treatment" means prescribed medical courses of action and
128prescribed medicines for the specific disease or diseases
129claimed and as documented in the prescribing physician's medical
130records.
131     3.  If there is a dispute as to the appropriateness of the
132course of treatment prescribed by a physician under sub-
133subparagraph 1.a. or sub-subparagraph 1.b. or whether a
134departure in a material fashion from the prescribed course of
135treatment is demonstrated to have resulted in a significant
136aggravation of the tuberculosis, heart disease, or hypertension
137resulting in disability or increasing the disability or need for
138medical treatment, the firefighter, law enforcement officer,
139correctional officer, or correctional probation officer is
140entitled to seek an independent medical examination pursuant to
141s. 440.13(5).
142     4.  A firefighter, law enforcement officer, correctional
143officer, or correctional probation officer is not entitled to
144the presumption provided in this section unless a claim for
145benefits is made prior to or within 180 days after leaving the
146employment of the employing agency.
147     (2)  This section authorizes each governmental entity
148specified in subsection (1) to negotiate policy contracts for
149life and disability insurance to include accidental death
150benefits or double indemnity coverage which shall include the
151presumption that any condition or impairment of health of any
152firefighter, law enforcement officer, or correctional officer
153caused by tuberculosis, heart disease, or hypertension resulting
154in total or partial disability or death was accidental and
155suffered in the line of duty, unless the contrary be shown by a
156preponderance of the competent evidence.
157     Section 2.  Subsection (8) is added to section 175.061,
158Florida Statutes, to read:
159     175.061  Board of trustees; members; terms of office;
160meetings; legal entity; costs; attorney's fees.-For any
161municipality, special fire control district, chapter plan, local
162law municipality, local law special fire control district, or
163local law plan under this chapter:
164     (8)  The board of trustees shall:
165     (a)  Provide a detailed accounting report of its expenses
166for each fiscal year to the plan sponsor and the Department of
167Management Services and make the report available to every
168member of the plan. The report must include, but need not be
169limited to, all administrative expenses that, for purposes of
170this subsection, are expenses relating to any legal counsel,
171actuary, plan administrator, and all other consultants, and all
172travel and other expenses paid to or on behalf of the members of
173the board of trustees or anyone else on behalf of the plan.
174     (b)  Operate under an administrative expense budget for
175each fiscal year, provide a copy of the budget to the plan
176sponsor, and make available a copy of the budget to plan members
177before the beginning of the fiscal year. The administrative
178expense budget must regulate the administrative expenses of the
179board of trustees. If the board of trustees amends the
180administrative expense budget, the board must provide a copy of
181the amended budget to the plan sponsor and make available a copy
182of the amended budget to plan members before the amendment takes
183effect.
184     Section 3.  Subsection (7) of section 175.071, Florida
185Statutes, is amended to read:
186     175.071  General powers and duties of board of trustees.-
187For any municipality, special fire control district, chapter
188plan, local law municipality, local law special fire control
189district, or local law plan under this chapter:
190     (7)  To assist the board in meeting its responsibilities
191under this chapter, the board, if it so elects, and subject to
192s. 175.061(8), may:
193     (a)  Employ independent legal counsel at the pension fund's
194expense.
195     (b)  Employ an independent actuary, as defined in s.
196175.032(7), at the pension fund's expense.
197     (c)  Employ such independent professional, technical, or
198other advisers as it deems necessary at the pension fund's
199expense.
200
201If the board chooses to use the municipality's or special
202district's legal counsel or actuary, or chooses to use any of
203the municipality's or special district's other professional,
204technical, or other advisers, it must do so only under terms and
205conditions acceptable to the board.
206     Section 4.  Subsection (4) is added to section 175.101,
207Florida Statutes, to read:
208     175.101  State excise tax on property insurance premiums
209authorized; procedure.-For any municipality, special fire
210control district, chapter plan, local law municipality, local
211law special fire control district, or local law plan under this
212chapter:
213     (4)  If a municipality or special fire control district
214revokes its participation under this chapter in accordance with
215s. 175.411, the excise tax authorized by this section shall not
216continue to be imposed on property insurance policies covering
217property situated within the municipality or special fire
218control district.
219
220This section also applies to any municipality consisting of a
221single consolidated government which is made up of a former
222county and one or more municipalities, consolidated pursuant to
223the authority in s. 3 or s. 6(e), Art. VIII of the State
224Constitution, and to property insurance policies covering
225property within the boundaries of the consolidated government,
226regardless of whether the properties are located within one or
227more separately incorporated areas within the consolidated
228government, provided the properties are being provided fire
229protection services by the consolidated government. This section
230also applies to any municipality, as provided in s.
231175.041(3)(c), which has entered into an interlocal agreement to
232receive fire protection services from another municipality
233participating under this chapter. The excise tax may be levied
234on all premiums collected on property insurance policies
235covering property located within the corporate limits of the
236municipality receiving the fire protection services, but will be
237available for distribution to the municipality providing the
238fire protection services.
239     Section 5.  Section 175.231, Florida Statutes, is amended
240to read:
241     175.231  Diseases of firefighters suffered in line of duty;
242presumption.-For any municipality, special fire control
243district, chapter plan, local law municipality, local law
244special fire control district, or local law plan under this
245chapter, any condition or impairment of health of a firefighter,
246who has been employed by the current employer for at least 5
247years and who is less than 37 years of age, caused by
248tuberculosis, hypertension, or heart disease resulting in total
249or partial disability or death shall be presumed to have been
250accidental and suffered in the line of duty unless the contrary
251is shown by a preponderance of the competent evidence, provided
252that such firefighter shall have successfully passed a physical
253examination before entering into such service, which examination
254failed to reveal any evidence of such condition. Risk factors
255and epidemiological data relating to nonwork-related conditions
256unique to an individual, such as blood cholesterol, body mass
257index, history of tobacco and alcohol use, and other medical
258conditions or behaviors that are associated with the disease or
259condition subject to the presumption, are appropriate for
260consideration in denying or overcoming the presumption. This
261section shall be applicable to all firefighters only with
262reference to pension and retirement benefits under this chapter.
263     Section 6.  Section 175.351, Florida Statutes, is amended
264to read:
265     175.351  Municipalities and special fire control districts
266having their own pension plans for firefighters.-For any
267municipality, special fire control district, local law
268municipality, local law special fire control district, or local
269law plan under this chapter, in order for municipalities and
270special fire control districts with their own pension plans for
271firefighters, or for firefighters and police officers if
272included, to participate in the distribution of the tax fund
273established pursuant to s. 175.101, local law plans must meet
274the minimum benefits and minimum standards set forth in this
275chapter.
276     (1)  Notwithstanding any other provision, retirement
277benefits provided pursuant to this chapter and the use of the
278income from the premium tax in s. 175.101 must be determined and
279implemented in accordance with the collective bargaining
280process, and where collective bargaining is not applicable, in
281accordance with the pension plan, except as provided in
282subsection (2). If the term of a collective bargaining agreement
283ends without a new collective bargaining agreement in effect,
284the retirement benefits of a plan operating pursuant to this
285chapter shall revert to the minimum benefit provisions of this
286chapter for the period of time from the end of the collective
287bargaining agreement until the effective date of the subsequent
288collective bargaining agreement, and the income from the premium
289tax may be used for any retirement benefit provided pursuant to
290this chapter as determined unilaterally by the municipality or
291special fire control district. If a municipality has a pension
292plan for firefighters, or a pension plan for firefighters and
293police officers if included, which in the opinion of the
294division meets the minimum benefits and minimum standards set
295forth in this chapter, the board of trustees of the pension
296plan, as approved by a majority of firefighters of the
297municipality, may:
298     (a)  Place the income from the premium tax in s. 175.101 in
299such pension plan for the sole and exclusive use of its
300firefighters, or for firefighters and police officers if
301included, where it shall become an integral part of that pension
302plan and shall be used to pay extra benefits to the firefighters
303included in that pension plan; or
304     (b)  Place the income from the premium tax in s. 175.101 in
305a separate supplemental plan to pay extra benefits to
306firefighters, or to firefighters and police officers if
307included, participating in such separate supplemental plan.
308     (2)  The premium tax provided by this chapter shall in all
309cases be used in its entirety to provide extra benefits to
310firefighters, or to firefighters and police officers if
311included. For However, local law plans in effect on October 1,
3121998, that do not must comply with the minimum benefit
313provisions of this chapter, as only to the extent that
314additional premium tax revenues become available, such revenues
315shall be used to incrementally fund the cost of such compliance
316as provided in s. 175.162(2)(a). If a plan is in compliance with
317such minimum benefit provisions, as subsequent additional
318premium tax revenues become available, they must be used to
319provide extra benefits. Local law plans created by special act
320before May 27, 1939, are deemed to comply with this chapter. For
321the purpose of this chapter, the term:
322     (a)  "additional premium tax revenues" means revenues
323received by a municipality or special fire control district
324pursuant to s. 175.121 which exceed that amount received for
325calendar year 1997. Once a plan is in compliance with the
326minimum benefit provisions of this chapter, the provisions of
327subsection (1) apply.
328     (b)  "Extra benefits" means benefits in addition to or
329greater than those provided to general employees of the
330municipality and in addition to those in existence for
331firefighters on March 12, 1999.
332     (3)  A retirement plan or amendment to a retirement plan
333may not be proposed for adoption unless the proposed plan or
334amendment contains an actuarial estimate of the costs involved.
335The Such proposed plan or proposed plan change may not be
336adopted without the approval of the municipality, special fire
337control district, or, if required where permitted, the
338Legislature. Copies of the proposed plan or proposed plan change
339and the actuarial impact statement of the proposed plan or
340proposed plan change shall be furnished to the division before
341the last public hearing thereon. Such statement must also
342indicate whether the proposed plan or proposed plan change is in
343compliance with s. 14, Art. X of the State Constitution and
344those provisions of part VII of chapter 112 which are not
345expressly provided in this chapter. Notwithstanding any other
346provision, only those local law plans created by special act of
347legislation before May 27, 1939, are deemed to meet the minimum
348benefits and minimum standards only in this chapter.
349     (4)  Notwithstanding any other provision, with respect to
350any supplemental plan municipality:
351     (a)  A local law plan and a supplemental plan may continue
352to use their definition of compensation or salary in existence
353on March 12, 1999.
354     (b)  Section 175.061(1)(b) does not apply, and a local law
355plan and a supplemental plan shall continue to be administered
356by a board or boards of trustees numbered, constituted, and
357selected as the board or boards were numbered, constituted, and
358selected on December 1, 2000.
359     (c)  The election set forth in paragraph (1)(b) is deemed
360to have been made.
361     (d)  The annual amount of premium tax revenues allocated to
362the supplemental plan shall be determined through collective
363bargaining, where applicable, and in accordance with the pension
364plan where collective bargaining does not apply. If the term of
365a collective bargaining agreement ends without a new collective
366bargaining agreement in effect, the amount of premium tax
367revenues allocated to the supplemental plan shall be determined
368unilaterally by the municipality or special fire control
369district for the period of time from the end of the collective
370bargaining agreement until the effective date of the subsequent
371collective bargaining agreement.
372     (5)  The retirement plan setting forth the benefits and the
373trust agreement, if any, covering the duties and
374responsibilities of the trustees and the regulations of the
375investment of funds must be in writing, and copies made
376available to the participants and to the general public.
377     (6)  A municipality or special fire control district may
378unilaterally establish one or more new plans, or benefit levels
379within a plan, which provide different benefit levels for plan
380members based on the member's date of hire if the new plan or
381benefit level provides pension benefits that, in the aggregate,
382meet or exceed the minimum benefits set forth in this chapter,
383as determined by the plan's or employer's actuary. A
384municipality or special fire control district may unilaterally
385elect to maintain an existing plan and join the Florida
386Retirement System or establish a defined contribution retirement
387plan for employees hired after a specified date. A municipality
388or special fire control district choosing to operate under this
389subsection shall use the premium tax provided under this chapter
390for the current plan or benefit level, for any additional plan
391or benefit level, for contributions to the Florida Retirement
392System, or for contributions to a defined contribution
393retirement plan.
394     Section 7.  Section 175.361, Florida Statutes, is amended
395to read:
396     175.361  Termination of plan and distribution of fund.-For
397any municipality, special fire control district, chapter plan,
398local law municipality, local law special fire control district,
399or local law plan under this chapter, the plan may be terminated
400by the municipality or special fire control district. Upon
401termination of the plan by the municipality or special fire
402control district for any reason or because of a transfer,
403merger, or consolidation of governmental units, services, or
404functions as provided in chapter 121, or upon written notice by
405the municipality or special fire control district to the board
406of trustees that contributions under the plan are being
407permanently discontinued, the rights of all employees to
408benefits accrued to the date of such termination and the amounts
409credited to the employees' accounts are nonforfeitable. The fund
410shall be distributed in accordance with the following
411procedures:
412     (1)  The board of trustees, subject to prior written
413approval of the municipality or special fire control district,
414shall determine the date of distribution and the asset value
415required to fund all the nonforfeitable benefits after taking
416into account the expenses of such distribution. The board shall
417inform the municipality or special fire control district if
418additional assets are required, in which event the municipality
419or special fire control district shall continue to financially
420support the plan until all nonforfeitable benefits have been
421funded.
422     (2)  The board of trustees, subject to prior written
423approval of the municipality or special fire control district,
424shall determine the method of distribution of the asset value,
425whether distribution shall be by payment in cash, by the
426maintenance of another or substituted trust fund, by the
427purchase of insured annuities, or otherwise, for each
428firefighter entitled to benefits under the plan as specified in
429subsection (3).
430     (3)  The board of trustees, subject to prior written
431approval of the municipality or special fire control district,
432shall distribute the asset value as of the date of termination
433in the manner set forth in this subsection, on the basis that
434the amount required to provide any given retirement income is
435the actuarially computed single-sum value of such retirement
436income, except that if the method of distribution determined
437under subsection (2) involves the purchase of an insured
438annuity, the amount required to provide the given retirement
439income is the single premium payable for such annuity. The
440actuarial single-sum value may not be less than the employee's
441accumulated contributions to the plan, with interest if provided
442by the plan, less the value of any plan benefits previously paid
443to the employee.
444     (4)  If there is asset value remaining after the full
445distribution specified in subsection (3), and after the payment
446of any expenses incurred with such distribution, such excess
447shall be returned to the municipality or special fire control
448district, less return to the state of the state's contributions,
449provided that, if the excess is less than the total
450contributions made by the municipality or special fire control
451district and the state to date of termination of the plan, such
452excess shall be divided proportionately to the total
453contributions made by the municipality or special fire control
454district and the state.
455     (5)  The board of trustees, subject to prior written
456approval of the municipality or special fire control district,
457shall distribute, in accordance with subsection (2), the amounts
458determined under subsection (3).
459
460If, after 24 months after the date the plan terminated or the
461date the board received written notice that the contributions
462thereunder were being permanently discontinued, the municipality
463or special fire control district or the board of trustees of the
464firefighters' pension trust fund affected has not complied with
465all the provisions in this section, the Department of Management
466Services shall effect the termination of the fund in accordance
467with this section and in the manner having the least fiscal
468impact on the municipality or special fire control district.
469     Section 8.  Subsection (4) of section 185.02, Florida
470Statutes, is amended to read:
471     185.02  Definitions.-For any municipality, chapter plan,
472local law municipality, or local law plan under this chapter,
473the following words and phrases as used in this chapter shall
474have the following meanings, unless a different meaning is
475plainly required by the context:
476     (4)  "Compensation" or "salary" means, for noncollectively
477bargained service earned before July 1, 2011, or for service
478earned under collective bargaining agreements in place before
479July 1, 2011, the total cash remuneration including "overtime"
480paid by the primary employer to a police officer for services
481rendered, but not including any payments for extra duty or
482special detail work performed on behalf of a second party
483employer. A local law plan may limit the amount of overtime
484payments which can be used for retirement benefit calculation
485purposes; however, such overtime limit may not be less than 300
486hours per officer per calendar year. For noncollectively
487bargained service earned on or after July 1, 2011, or for
488service earned under collective bargaining agreements entered
489into on or after July 1, 2011, the term has the same meaning
490except that when calculating retirement benefits, up to 300
491hours per year in overtime compensation may be included as
492specified in the plan or collective bargaining agreement, but
493payments for accrued unused sick or annual leave may not be
494included.
495     (a)  Any retirement trust fund or plan that meets the
496requirements of this chapter does not, solely by virtue of this
497subsection, reduce or diminish the monthly retirement income
498otherwise payable to each police officer covered by the
499retirement trust fund or plan.
500     (b)  The member's compensation or salary contributed as
501employee-elective salary reductions or deferrals to any salary
502reduction, deferred compensation, or tax-sheltered annuity
503program authorized under the Internal Revenue Code shall be
504deemed to be the compensation or salary the member would receive
505if he or she were not participating in such program and shall be
506treated as compensation for retirement purposes under this
507chapter.
508     (c)  For any person who first becomes a member in any plan
509year beginning on or after January 1, 1996, compensation for
510that plan year may not include any amounts in excess of the
511Internal Revenue Code s. 401(a)(17) limitation, as amended by
512the Omnibus Budget Reconciliation Act of 1993, which limitation
513of $150,000 shall be adjusted as required by federal law for
514qualified government plans and shall be further adjusted for
515changes in the cost of living in the manner provided by Internal
516Revenue Code s. 401(a)(17)(B). For any person who first became a
517member before the first plan year beginning on or after January
5181, 1996, the limitation on compensation may not be less than the
519maximum compensation amount that was allowed to be taken into
520account under the plan as in effect on July 1, 1993, which
521limitation shall be adjusted for changes in the cost of living
522since 1989 in the manner provided by Internal Revenue Code s.
523401(a)(17)(1991).
524     Section 9.  Subsection (8) is added to section 185.05,
525Florida Statutes, to read:
526     185.05  Board of trustees; members; terms of office;
527meetings; legal entity; costs; attorney's fees.-For any
528municipality, chapter plan, local law municipality, or local law
529plan under this chapter:
530     (8)  The board of trustees shall:
531     (a)  Provide a detailed accounting report of its expenses
532for each fiscal year to the plan sponsor and the Department of
533Management Services and make the report available to every
534member of the plan. The report must include, but need not be
535limited to, all administrative expenses that, for purposes of
536this subsection, are expenses relating to any legal counsel,
537actuary, plan administrator, and all other consultants, and all
538travel and other expenses paid to or on behalf of the members of
539the board of trustees or anyone else on behalf of the plan.
540     (b)  Operate under an administrative expense budget for
541each fiscal year, provide a copy of the budget to the plan
542sponsor, and make available a copy of the budget to plan members
543before the beginning of the fiscal year. The administrative
544expense budget must regulate the administrative expenses of the
545board of trustees. If the board of trustees amends the
546administrative expense budget, the board must provide a copy of
547the amended budget to the plan sponsor and make available a copy
548of the amended budget to plan members before the amendment takes
549effect.
550     Section 10.  Subsection (6) of section 185.06, Florida
551Statutes, is amended to read:
552     185.06  General powers and duties of board of trustees.-For
553any municipality, chapter plan, local law municipality, or local
554law plan under this chapter:
555     (6)  To assist the board in meeting its responsibilities
556under this chapter, the board, if it so elects, and subject to
557s. 185.05(8), may:
558     (a)  Employ independent legal counsel at the pension fund's
559expense.
560     (b)  Employ an independent actuary, as defined in s.
561185.02(8), at the pension fund's expense.
562     (c)  Employ such independent professional, technical, or
563other advisers as it deems necessary at the pension fund's
564expense.
565
566If the board chooses to use the municipality's or special
567district's legal counsel or actuary, or chooses to use any of
568the municipality's other professional, technical, or other
569advisers, it must do so only under terms and conditions
570acceptable to the board.
571     Section 11.  Subsection (4) is added to section 185.08,
572Florida Statutes, to read:
573     185.08  State excise tax on casualty insurance premiums
574authorized; procedure.-For any municipality, chapter plan, local
575law municipality, or local law plan under this chapter:
576     (4)  If a municipality revokes its participation under this
577chapter in accordance with s. 185.60, the excise tax authorized
578by this section shall not continue to be imposed on casualty
579insurance policies covering property situated within the
580municipality.
581     Section 12.  Section 185.34, Florida Statutes, is amended
582to read:
583     185.34  Disability in line of duty.-For any municipality,
584chapter plan, local law municipality, or local law plan under
585this chapter, any condition or impairment of health of any and
586all police officer officers employed in the state, who has been
587employed by the current employer for at least 5 years and who is
588less than 37 years of age, caused by tuberculosis, hypertension,
589heart disease, or hardening of the arteries, resulting in total
590or partial disability or death, shall be presumed to be
591accidental and suffered in line of duty unless the contrary be
592shown by a preponderance of the competent evidence. Any
593condition or impairment of health caused directly or proximately
594by exposure, which exposure occurred in the active performance
595of duty at some definite time or place without willful
596negligence on the part of the police officer, resulting in total
597or partial disability, shall be presumed to be accidental and
598suffered in the line of duty, provided that such police officer
599shall have successfully passed a physical examination upon
600entering such service, which physical examination including
601electrocardiogram failed to reveal any evidence of such
602condition, and, further, that such presumption shall not apply
603to benefits payable under or granted in a policy of life
604insurance or disability insurance. Risk factors and
605epidemiological data relating to nonwork-related conditions
606unique to an individual, such as blood cholesterol, body mass
607index, history of tobacco and alcohol use, and other medical
608conditions or behaviors that are associated with the disease or
609condition subject to the presumption, are appropriate for
610consideration in denying or overcoming the presumption. This
611section shall be applicable to all police officers only with
612reference to pension and retirement benefits under this chapter.
613     Section 13.  Section 185.35, Florida Statutes, is amended
614to read:
615     185.35  Municipalities having their own pension plans for
616police officers.-For any municipality, chapter plan, local law
617municipality, or local law plan under this chapter, in order for
618municipalities with their own pension plans for police officers,
619or for police officers and firefighters if included, to
620participate in the distribution of the tax fund established
621pursuant to s. 185.08, local law plans must meet the minimum
622benefits and minimum standards set forth in this chapter.:
623     (1)  Notwithstanding any other provision, retirement
624benefits provided pursuant to this chapter and the use of the
625income from the premium tax in s. 185.08 must be determined and
626implemented in accordance with the collective bargaining
627process, and where collective bargaining is not applicable, in
628accordance with the pension plan, except as provided in
629subsection (2). If the term of a collective bargaining agreement
630ends without a new collective bargaining agreement in effect,
631the retirement benefits of a plan operating pursuant to this
632chapter shall revert to the minimum benefit provisions of this
633chapter for the period of time from the end of the collective
634bargaining agreement until the effective date of the subsequent
635collective bargaining agreement, and the income from the premium
636tax may be used for any retirement benefit provided pursuant to
637this chapter as determined unilaterally by the municipality. If
638a municipality has a pension plan for police officers, or for
639police officers and firefighters if included, which, in the
640opinion of the division, meets the minimum benefits and minimum
641standards set forth in this chapter, the board of trustees of
642the pension plan, as approved by a majority of police officers
643of the municipality, may:
644     (a)  Place the income from the premium tax in s. 185.08 in
645such pension plan for the sole and exclusive use of its police
646officers, or its police officers and firefighters if included,
647where it shall become an integral part of that pension plan and
648shall be used to pay extra benefits to the police officers
649included in that pension plan; or
650     (b)  May place the income from the premium tax in s. 185.08
651in a separate supplemental plan to pay extra benefits to the
652police officers, or police officers and firefighters if
653included, participating in such separate supplemental plan.
654     (2)  The premium tax provided by this chapter shall in all
655cases be used in its entirety to provide extra benefits to
656police officers, or to police officers and firefighters if
657included. For However, local law plans in effect on October 1,
6581998, that do not must comply with the minimum benefit
659provisions of this chapter, as only to the extent that
660additional premium tax revenues become available, such revenues
661shall be used to incrementally fund the cost of such compliance
662as provided in s. 185.16(2). If a plan is in compliance with
663such minimum benefit provisions, as subsequent additional tax
664revenues become available, they shall be used to provide extra
665benefits. Local law plans created by special act before May 27,
6661939, shall be deemed to comply with this chapter. For the
667purpose of this chapter, the term:
668     (a)  "additional premium tax revenues" means revenues
669received by a municipality pursuant to s. 185.10 which exceed
670the amount received for calendar year 1997. Once a plan is in
671compliance with the minimum benefit provisions of this chapter,
672the provisions of subsection (1) apply.
673     (b)  "Extra benefits" means benefits in addition to or
674greater than those provided to general employees of the
675municipality and in addition to those in existence for police
676officers on March 12, 1999.
677     (3)  A retirement plan or amendment to a retirement plan
678may not be proposed for adoption unless the proposed plan or
679amendment contains an actuarial estimate of the costs involved.
680The Such proposed plan or proposed plan change may not be
681adopted without the approval of the municipality or, if required
682where permitted, the Legislature. Copies of the proposed plan or
683proposed plan change and the actuarial impact statement of the
684proposed plan or proposed plan change shall be furnished to the
685division before the last public hearing thereon. Such statement
686must also indicate whether the proposed plan or proposed plan
687change is in compliance with s. 14, Art. X of the State
688Constitution and those provisions of part VII of chapter 112
689which are not expressly provided in this chapter.
690Notwithstanding any other provision, only those local law plans
691created by special act of legislation before May 27, 1939, are
692deemed to meet the minimum benefits and minimum standards only
693in this chapter.
694     (4)  Notwithstanding any other provision, with respect to
695any supplemental plan municipality:
696     (a)  Section 185.02(4)(a) does not apply, and A local law
697plan and a supplemental plan may continue to use their
698definition of compensation or salary in existence on March 12,
6991999.
700     (b)  Section 185.05(1)(b) does not apply, and a local law
701plan and a supplemental plan must continue to be administered by
702a board or boards of trustees numbered, constituted, and
703selected as the board or boards were numbered, constituted, and
704selected on December 1, 2000.
705     (c)  The election set forth in paragraph (1)(b) is deemed
706to have been made.
707     (d)  The annual amount of premium tax revenues allocated to
708the supplemental plan shall be determined through collective
709bargaining, where applicable, and in accordance with the pension
710plan where collective bargaining does not apply. If the term of
711a collective bargaining agreement ends without a new collective
712bargaining agreement in effect, the amount of premium tax
713revenues allocated to the supplemental plan shall be determined
714unilaterally by the municipality for the period of time from the
715end of the collective bargaining agreement until the effective
716date of the subsequent collective bargaining agreement.
717     (5)  The retirement plan setting forth the benefits and the
718trust agreement, if any, covering the duties and
719responsibilities of the trustees and the regulations of the
720investment of funds must be in writing and copies made available
721to the participants and to the general public.
722     (6)  A municipality may unilaterally establish one or more
723new plans, or benefit levels within a plan, which provide
724different benefit levels for plan members based on the member's
725date of hire if the new plan or benefit level provides pension
726benefits that, in the aggregate, meet or exceed the minimum
727benefits set forth in this chapter, as determined by the plan's
728or employer's actuary. A municipality may unilaterally elect to
729maintain an existing plan and join the Florida Retirement System
730or establish a defined contribution retirement plan for
731employees hired after a specified date. A municipality choosing
732to operate under this subsection shall use the premium tax
733provided under this chapter for the current plan or benefit
734level, for any additional plan or benefit level, for
735contributions to the Florida Retirement System, or for
736contributions to a defined contribution retirement plan.
737     Section 14.  Section 185.37, Florida Statutes, is amended
738to read:
739     185.37  Termination of plan and distribution of fund.-For
740any municipality, chapter plan, local law municipality, or local
741law plan under this chapter, the plan may be terminated by the
742municipality. Upon termination of the plan by the municipality
743for any reason, or because of a transfer, merger, or
744consolidation of governmental units, services, or functions as
745provided in chapter 121, or upon written notice to the board of
746trustees by the municipality that contributions under the plan
747are being permanently discontinued, the rights of all employees
748to benefits accrued to the date of such termination or
749discontinuance and the amounts credited to the employees'
750accounts are nonforfeitable. The fund shall be distributed in
751accordance with the following procedures:
752     (1)  The board of trustees, subject to prior written
753approval of the municipality, shall determine the date of
754distribution and the asset value required to fund all the
755nonforfeitable benefits, after taking into account the expenses
756of such distribution. The board shall inform the municipality if
757additional assets are required, in which event the municipality
758shall continue to financially support the plan until all
759nonforfeitable benefits have been funded.
760     (2)  The board of trustees, subject to prior written
761approval of the municipality, shall determine the method of
762distribution of the asset value, whether distribution shall be
763by payment in cash, by the maintenance of another or substituted
764trust fund, by the purchase of insured annuities, or otherwise,
765for each police officer entitled to benefits under the plan, as
766specified in subsection (3).
767     (3)  The board of trustees, subject to prior written
768approval of the municipality, shall distribute the asset value
769as of the date of termination in the manner set forth in this
770subsection, on the basis that the amount required to provide any
771given retirement income is the actuarially computed single-sum
772value of such retirement income, except that if the method of
773distribution determined under subsection (2) involves the
774purchase of an insured annuity, the amount required to provide
775the given retirement income is the single premium payable for
776such annuity. The actuarial single-sum value may not be less
777than the employee's accumulated contributions to the plan, with
778interest if provided by the plan, less the value of any plan
779benefits previously paid to the employee.
780     (4)  If there is asset value remaining after the full
781distribution specified in subsection (3), and after payment of
782any expenses incurred with such distribution, such excess shall
783be returned to the municipality, less return to the state of the
784state's contributions, provided that, if the excess is less than
785the total contributions made by the municipality and the state
786to date of termination of the plan, such excess shall be divided
787proportionately to the total contributions made by the
788municipality and the state.
789     (5)  The board of trustees, subject to prior written
790approval of the municipality, shall distribute, in accordance
791with the manner of distribution determined under subsection (2),
792the amounts determined under subsection (3).
793
794If, after 24 months after the date the plan terminated or the
795date the board received written notice that the contributions
796thereunder were being permanently discontinued, the municipality
797or the board of trustees of the municipal police officers'
798retirement trust fund affected has not complied with all the
799provisions in this section, the Department of Management
800Services shall effect the termination of the fund in accordance
801with this section and in the manner having the least fiscal
802impact on the municipality.
803     Section 15.  The Legislature finds that a proper and
804legitimate state purpose is served when employees and retirees
805of the state and its political subdivisions, and the dependents,
806survivors, and beneficiaries of such employees and retirees are
807extended the basic protections afforded by governmental
808retirement systems that provide fair and adequate benefits and
809that are managed, administered, and funded in an actuarially
810sound manner as required by s. 14, Art. X of the State
811Constitution and part VII of chapter 112, Florida Statutes.
812Therefore, the Legislature determines and declares that this act
813fulfills an important state interest.
814     Section 16.  This act shall take effect July 1, 2012.


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