F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 A bill to be entitled An act relating to the Florida Retirement System;
121.053, F.S.;
authorizing certain elected officers to receive a specified payment while remaining in office;
amending s.
prohibitingproviding suchconditions retirees from receiving both a salary from the employer and retirement benefits for asuch specifiedreemployment; period after his or her retirement;
removingrequiring provisionsreimbursement authorizing the reemployment of certain lawpayments enforcementin officersspecified ascircumstances; school resource officers;
revising an obsolete provision;
121.101, F.S.;
revising the calculation for the cost-of-living factor for certain members;
requiring the Department of Management Services to annually adjust a specified value beginning on a specified date;
providing applicability;
requiring the Division of Retirement to annually submit a specified analysis beginning on a specified date;
revising a provision requiring the expiration of a specified formula;
amending s.
revisingincreasing employeremployee contributioncontributions rates to the Florida Retirement System;
121.72, F.S.;
increasing the allocations to investment plan member accounts;
amending s.
providing a declaration of important statePage interest;1of 21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 state interest;
SubsectionParagraph (9)(c) of subsection (7) of section 121.091,121.053, Florida Statutes, is amendedamended, paragraph (d) is added to that subsection, and paragraph (b) of that subsection is republished to read:
121.053 Participation in the Elected Officers' Class for retired members.— (7) A member who is elected or appointed to an elective office and who is participating in the Deferred Retirement Option Program is not subject to termination as defined in s.
121.021, or reemployment limitations as provided in s.
121.091(9), until the end of his or her current term of office or, if the officer is consecutively elected or reelected to an elective office eligible for coverage under the Florida Retirement System, until he or she no longer holds an elective office, as follows:
(b) An elected officer may voluntarily terminate his or her elective office at any time and receive his or her DROP proceeds.
However, until termination occurs, an elected officer whose termination limitations are extended by this section is ineligible for renewed membership in the system and may not receive pension payments, DROP lump sum payments, or any other Page 2of 21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 state payment other than the statutorily determined salary, travel, and per diem for the elective office.
(c) Except as provided in paragraph (d), upon termination, the officer shall receive his or her accumulated DROP account, plus interest, and shall accrue and commence receiving monthly retirement benefits, which must be paid on a prospective basis only.
(d) Notwithstanding paragraph (b), an elected officer who qualifies under this subsection as of June 30, 2023, and who has completed his or her DROP participation period as of June 30, 2023, may remain in elective office and receive his or her accumulated DROP proceeds, including interest.
Section 2.
Paragraphs (d) and (e) of subsection (9) of section 121.091, Florida Statutes, are redesignated as paragraphs (e) and (f), respectively, paragraph (c) and present paragraph (f) are amended, and a new paragraph (d) is added to that subsection, to read:
121.021(39)(a) or begun Pageparticipation 1ofin 20the CODING:Deferred Retirement Option Program as provided in subsection (13), and a proper application has been filed in the manner prescribed by the department.
The department may cancel an application for retirement benefits when the member or beneficiary fails to timely provide the information Page 3of 21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 participationand indocuments therequired Deferredby Retirementthis Optionchapter Program as provided in subsection (13), and a proper application has been filed in the mannerdepartment's prescribedrules. by the department.
The department may cancel an application for retirement benefits when the member or beneficiary fails to timely provide the information and documents required by this chapter and the department's rules.
LIMITATION.— (a)(c) Any person whowhose retirement is retiredeffective underon thisor chapter,after exceptJuly under1, the2010, disabilityor retirementwhose provisionsparticipation ofin subsectionthe (4),Deferred mayRetirement beOption employedProgram byterminates anon employeror thatafter doesJuly not1, participate2010, inwho ais state-administeredretired retirementunder systemthis andchapter, receiveexcept compensationunder fromthe thatdisability employmentretirement withoutprovisions limitingof orsubsection restricting(4) inor anyas wayprovided thein retirements. benefits payable to that person.
(b)121.053, Anymay personbe whosereemployed retirementby isan effectiveemployer beforethat Julyparticipates 1, 2010, or whose participation in thea Deferredstate-administered Retirementretirement Optionsystem Programand terminatesreceive before July 1, 2010, except under the disability retirement provisionsbenefits ofand subsectioncompensation (4)from orthat asemployer. provided in s.
121.053,However, a person may not be reemployed by an employer thatparticipating participates in athe state-administeredFlorida retirementRetirement systemSystem andbefore receivemeeting retirement benefits and compensation from that employer, except that the persondefinition mayof nottermination bein reemployeds. by an employer Page 2of 20 CODING:
Words121.021 strickenareand deletions;may not receive both a salary from the employer and retirement benefits for 6 calendar months after meeting the definition of termination, except as provided in paragraph (d) (f).
words underlined are additions.
hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 participating in the Florida Retirement System before meeting the definition of termination in s.
121.021 and may not receive both a salary from the employer and retirement benefits for 12 calendar months immediately subsequent to the date of retirement.
AThe reemployed retiree whomay violatesnot suchrenew reemploymentmembership limitation before completion of the 12-month limitation period must give timely notice of this fact in writing to the employerFlorida and to the Division of Retirement orSystem, theexcept state board and shall have his or her retirement benefits suspended for the months employed or the balance of the 12-month limitation period as requiredprovided in sub-s. subparagraphs b.
and121.122. c.
APage retiree4of employed21 inCODING: violation of this paragraph and an employer who employs or appoints such person are jointly and severally liable for reimbursement to the retirement trust fund, including the Florida Retirement System Trust Fund and the Florida Retirement System Investment Plan Trust Fund, from which the benefits were paid.
The employer must have a written statement from the retiree that he or she is not retired from a state-administered retirement system.
Retirement benefits shall remain suspended until repayment has been made.
Benefits suspended beyond the reemployment limitation shall apply toward repayment of benefits received in violation of the Page 3of 20 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 reemployment2. limitation.
a.The employer shall pay retirement contributions in an amount equal to the unfunded actuarial liability portion of the employer contribution that would be required for active members of the Florida Retirement System in addition to the contributions required by s.
A121.76. district school board may reemploy a retiree as a substitute or hourly teacher, education paraprofessional, transportation assistant, bus driver, or food service worker on a noncontractual basis after he or she has been retired for 1 calendar month.
A district school board may reemploy a retiree as instructional personnel, as defined in s.
1012.01(2)(a), on an annual contractual basis after he or she has been retired for 1 calendar month.
Any member who is reemployed within 1 calendar month after retirement shall void his or her application for retirement benefits.
District school boards reemploying such teachers, education paraprofessionals, transportation assistants, bus drivers, or food service workers are subject to the retirement contribution required by subparagraph 2.
b.
A Florida College System institution board of trustees may reemploy a retiree as an adjunct instructor or as a participant in a phased retirement program within the Florida College System, after he or she has been retired for 1 calendar month.
A member who is reemployed within 1 calendar month after retirement shall void his or her application for retirement benefits.
Boards of trustees reemploying such instructors are subject to the retirement contribution required in subparagraph 2.
A retiree may be reemployed as an adjunct instructor for no more than 780 hours during the first 12 months of retirement.
A retiree reemployed for more than 780 hours during the first 12 Page 4of 20 CODING:
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 months of retirement must give timely notice in writing to the employer and to the Division of Retirement or the state board of the date he or she will exceed the limitation.
The division shall suspend his or her retirement benefits for the remainder of the 12 months of retirement.
Any retiree employed in violation of this sub-subparagraph and any employer who employs or appoints such person without notifying the division to suspend retirement benefits are jointly and severally liable for any benefits paid during the reemployment limitation period.
The employer must have a written statement from the retiree that he or she is not retired from a state-administered retirement system.
Any retirement benefits received by the retiree while reemployed in excess of 780 hours during the first 12 months of retirement must be repaid to the Florida Retirement System Trust Fund, and retirement benefits shall remain suspended until repayment is made.
Benefits suspended beyond the end of the retiree's first 12 months of retirement shall apply toward repayment of benefits received in violation of the 780-hour reemployment limitation.
c.
The State University System may reemploy a retiree as an adjunct faculty member or as a participant in a phased retirement program within the State University System after the retiree has been retired for 1 calendar month.
A member who is reemployed within 1 calendar month after retirement shall void his or her application for retirement benefits.
The State Page 5of 20 CODING:
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 University System is subject to the retired contribution required in subparagraph 2., as appropriate.
A retiree may be reemployed as an adjunct faculty member or a participant in a phased retirement program for no more than 780 hours during the first 12 months of his or her retirement.
A retiree reemployed for more than 780 hours during the first 12 months of retirement must give timely notice in writing to the employer and to the Division of Retirement or the state board of the date he or she will exceed the limitation.
The division shall suspend his or her retirement benefits for the remainder of the 12 months.
Any retiree employed in violation of this sub-subparagraph and any employer who employs or appoints such person without notifying the division to suspend retirement benefits are jointly and severally liable for any benefits paid during the reemployment limitation period.
The employer must have a written statement from the retiree that he or she is not retired from a state- administered retirement system.
Any retirement benefits received by the retiree while reemployed in excess of 780 hours during the first 12 months of retirement must be repaid to the Florida Retirement System Trust Fund, and retirement benefits shall remain suspended until repayment is made.
Benefits suspended beyond the end of the retiree's first 12 months of retirement shall apply toward repayment of benefits received in violation of the 780-hour reemployment limitation.
d.
The Board of Trustees of the Florida School for the Page 6of 20 CODING:
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 Deaf and the Blind may reemploy a retiree as a substitute teacher, substitute residential instructor, or substitute nurse on a noncontractual basis after he or she has been retired for 1 calendar month.
Any member who is reemployed within 1 calendar month after retirement shall void his or her application for retirement benefits.
The Board of Trustees of the Florida School for the Deaf and the Blind reemploying such teachers, residential instructors, or nurses is subject to the retirement contribution required by subparagraph 2.
e.
A developmental research school may reemploy a retiree as a substitute or hourly teacher or an education paraprofessional as defined in s.
1012.01(2) on a noncontractual basis after he or she has been retired for 1 calendar month.
A developmental research school may reemploy a retiree as instructional personnel, as defined in s.
1012.01(2)(a), on an annual contractual basis after he or she has been retired for 1 calendar month after retirement.
Any member who is reemployed within 1 calendar month voids his or her application for retirement benefits.
A developmental research school that reemploys retired teachers and education paraprofessionals is subject to the retirement contribution required by subparagraph 2.
f.
A charter school may reemploy a retiree as a substitute or hourly teacher on a noncontractual basis after he or she has been retired for 1 calendar month.
A charter school may reemploy Page 7of 20 CODING:
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 a retired member as instructional personnel, as defined in s.
1012.01(2)(a), on an annual contractual basis after he or she has been retired for 1 calendar month after retirement.
Any member who is reemployed within 1 calendar month voids his or her application for retirement benefits.
A charter school that reemploys such teachers is subject to the retirement contribution required by subparagraph 2.
2.
The employment of a retiree or DROP participant of a state-administered retirement system does not affect the average final compensation or years of creditable service of the retiree or DROP participant.
Before July 1, 1991, upon employment of any person, other than an elected officer as provided in s.
121.053, who is retired under a state-administered retirement program, the employer shall pay retirement contributions in an amount equal to the unfunded actuarial liability portion of the employer contribution which would be required for regular members of the Florida Retirement System.
Effective July 1, 1991, contributions shall be made as provided in s.
121.122 for retirees who have renewed membership or, as provided in subsection (13), for DROP participants.
AnyA personretiree whoinitially isreemployed holdingin anviolation electiveof publicthis officeparagraph whichand isan coveredemployer bythat theemploys Floridaor Retirementappoints Systemsuch andperson whoare isjointly concurrentlyand employedseverally inliable nonelectedfor coveredreimbursement employmentof mayany electretirement benefits paid to retirethe whileretirement continuingtrust employmentfund infrom which the electivebenefits publicwere officepaid, ifincluding hethe orFlorida sheRetirement terminatesSystem hisTrust orFund herand nonelectedthe coveredFlorida PageRetirement 8ofSystem 20Investment CODING:Plan Trust Fund, as appropriate.
The employer must have a written statement from the employee that he or she is not retired from a state-administered retirement system.
Retirement benefits shall remain suspended until repayment is made.
Benefits suspended beyond the end of the retiree's 6-month reemployment limitation period shall apply toward the repayment of benefits received in violation of this paragraph.
(d) Any person whose retirement is effective on or after July 1, 2024, or whose participation in the Deferred Retirement Option Program terminates on or after July 1, 2024, who is retired under this chapter, except under the disability provisions of subsection (4) or as provided in s.
121.053, may be reemployed by an employer that participates in a state- administered retirement system and receive retirement benefits Page 5of 21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed2024 1and 2024compensation employment.from that employer.
Such person shall receive his or her retirement benefits in addition to the compensation of the elective office without regard to the time limitations otherwise provided in this subsection.
A person who seeks to exercise the provisions of this subparagraph as they existed before May 3, 1984, may not be deemed to be retired under those provisions, unless such person is eligible to retire under this subparagraph, as amended by chapter 84-11, Laws of Florida.
(c) Any person whose retirement is effective on or after July 1, 2010, or whose participation in the Deferred Retirement Option Program terminates on or after July 1, 2010, who is retired under this chapter, except under the disability retirement provisions of subsection (4) or as provided in s.
121.053, may be reemployed by an employer that participates in a state-administered retirement system and receive retirement benefits and compensation from that employer.
121.021121.021. and may not receive both a salary from the employer and retirement benefits for 6 calendar months after meeting the definition of termination, except as provided in paragraph (d) (f).
However,A a DROP participant shall continue employment and receive a salary during the period of participation in the Deferred Retirement Option Program, as provided in subsection (13).
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 1.
Benefits suspended beyond the end of the retiree's 6-month reemployment limitation periodPage shall6of apply21 towardCODING: the repayment of benefits received in violation of this paragraph.
(d) Beginning July 1, 2024, a retiree who has met the definition of termination in s.
121.021 may be reemployed by an employer that participates in a state-administered retirement system and receive retirement benefits and compensation from that employer but may not receive both a salary from the Page 10 of20 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 employerperiod andshall retirementapply benefitstoward forthe 6repayment calendarof monthsbenefits immediatelyreceived subsequentin toviolation the date of retirement.this paragraph.
(e)(d) This subsection applies to retirees, as defined in s.
121.4501(2), of the Florida Retirement System Investment Plan, subject to the following conditions:
1.
A retiree may not be reemployed with an employer participating in the Florida Retirement System until such person has been retired for 6 calendar months.
2.
A retiree employed in violation of this subsection and an employer that employs or appoints such person are jointly and severally liable for reimbursement of any benefits paid to the retirement trust fund from which the benefits were paid.
The employer must have a written statement from the retiree that he or she is not retired from a state-administered retirement system.
(f)(e) The limitations of this subsection apply to reemployment in any capacity irrespective of the category of funds from which the person is compensated.
The reemployed Pageretired 11law of20enforcement CODING:officer may not renew membership in the Florida Retirement System, except as provided in s.
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hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 retired law enforcement officer may not renew membership in the Florida Retirement System, except as provided in s.
Section 2.3.
(5) CLOSURE TO NEW MEMBERS.—Effective July 1, 2026, the Florida Retirement System Preservation of Benefits Plan is closedPage to7of new21 members.CODING:
SectionWords 3.strickenare deletions;
Subsectionswords (4)underlined and (5) of section 121.71, Florida Statutes, are amendedadditions. to read:
hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 closed to new members.
Section 4.
Paragraph (c) of subsection (4) and subsection (5) of section 121.101, Florida Statutes, are amended to read:
121.101 Cost-of-living adjustment of benefits.— (4) For members whose effective retirement date is on or after July 1, 2011, the benefit of each retiree and annuitant shall be adjusted annually on July 1 as follows:
(c) Beginning July 1, 2024, the department shall calculate a cost-of-living factor for each retiree and beneficiary retiring on or after July 1, 2011.
This factor shall:
1.
For a member initially enrolled before July 1, 2011, equal 3 percent for the first $150,000 of benefit payable annually, and for any additional benefit payable shall equal the product of 3 percent multiplied by the quotient of the sum of the member's service credit earned for service before July 1, 2011, divided by the sum of the member's total service credit earned.
The $150,000 amount shall be adjusted annually by the department to reflect changes in the Consumer Price Index compiled by the United States Department of Labor.
Any benefits paid in accordance with this subparagraph shall only be made prospectively.
2.
For a member initially enrolled on or after July 1, 2011, equal the product of 3 percent multiplied by the quotient of the sum of the member's service credit earned for service before July 1, 2011, divided by the sum of the member's total Page 8of 21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 service credit earned.
(5) Beginning July 1, 2033, and annually thereafter, the division shall submit an actuarial analysis to the Legislature on the feasibility and cost of providing a cost-of-living adjustment for employees that initially enrolled in the Florida Retirement System after July 1, 2011 Subject to the availability of funding and the Legislature enacting sufficient employer contributions specifically for the purpose of funding the expiration of the cost-of-living adjustment specified in subsection (4), in accordance with s.
14, Art.
X of the State Constitution, the cost-of-living adjustment formula provided for in subsection (4) shall expire effective June 30, 2016, and the benefit of each retiree and annuitant shall be adjusted on each July 1 thereafter, as provided in subsection (3).
Section 5.
Subsections (3), (4), and (5) of section 121.71, Florida Statutes, are amended to read:
levy.— (4)(3) Required employeremployee retirement contribution rates for each membership class and subclass of the Florida Retirement System for both retirement plans are as follows:
Percentage of Gross Compensation, Membership Class PercentageEffective of Page 129of of2021 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 Gross Compensation, Effective July 1, 2024 20232011 Regular Class 6.73%4.00% 3.00% Special Risk Class 18.66%5.00% 3.00% Special Risk Administrative Support Class 11.54%4.00% 3.00% Elected Officers' Class— Legislators, Governor, Lt.
Governor, Cabinet Officers, State Attorneys, Public Defenders 10.70%6.00% 10.45%3.00% Elected Officers' Class— Justices, Judges 14.90%6.00% 3.00% Elected Officers' Class— County Elected Officers 6.00% 3.00% Page 1310 of20of21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 Elected Officers' Class— County Elected Officers 12.39% Senior Management Service Class 8.56%4.00% 3.00% DROP 8.49%0.00% (5)(4) InRequired order to address unfunded actuarial liabilities of the system, the required employer retirement contribution rates for each membership class and subclass of the Florida Retirement System for both retirement plans are as follows:
Percentage of Gross Compensation, Effective Membership Class July 1, 2024 2023 Regular Class 4.84%7.91% 4.78%6.73% Special Risk Class 12.07%21.02% 11.95%18.66% Special Risk 26.22%Administrative Support Class 13.37% 11.54% Elected Officers' Class— 12.28% 10.45% Page 1411 of20of21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 Administrative Support Class Elected Officers' Class— Legislators, Governor, Lt.
Governor, Cabinet Officers, State Attorneys, Public Defenders 50.21% Elected Officers' Class— Justices, Judges 28.49%17.06% 27.93%14.90% Elected Officers' Class— County Elected Officers 44.23%13.89% 12.39% Senior Management Service Class 23.90%9.88% 8.56% DROP 10.64%10.12% Section8.49% 4.(5) In order to address unfunded actuarial liabilities of the system, the required employer retirement contribution rates for each membership class and subclass of the Florida Retirement System for both retirement plans are as follows:
ParagraphPercentage (a) of subsectionGross (1)Compensation, ofMembership sectionClass 121.591,Effective FloridaPage Statutes,12 isof21 amendedCODING: to read:
121.591 Payment of benefits.—Benefits may not be paid under the Florida Retirement System Investment Plan unless the Page 15 of20 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed2024 1July 1, 2024 member2023 hasRegular terminatedClass employment7.55% as4.78% providedSpecial inRisk s.Class 17.76% 11.95% Special Risk Administrative Support Class 32.39% 26.22% Elected Officers' Class— Legislators, Governor, Lt.
Governor, Cabinet Officers, State Attorneys, Public Defenders 53.84% 50.21% Elected Officers' Class— Justices, Judges 33.74% 27.93% Elected Officers' Class— County Elected Officers 48.84% 44.23% Page 13 of21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 Senior Management Service Class 26.96% 23.90% DROP 16.57% 10.64% Section 6.
Subsection (7) of section 121.72, Florida Statutes, is amended, and subsection (8) is added to that section, to read:
121.72 Allocations to investment plan member accounts;
percentage amounts.— (7) Effective July 1, 2023, through June 30, 2024, allocations from the Florida Retirement System Contributions Clearing Trust Fund to investment plan member accounts are as follows:
Membership Class Percentage of Gross Compensation Regular Class 11.30% Special Risk Class 19.00% Special Risk Administrative Support Class 12.95% Page 14 of21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 Elected Officers' Class— Legislators, Governor, Lt.
Governor, Cabinet Officers, State Attorneys, Public Defenders 14.38% Elected Officers' Class— Justices, Judges 18.23% Elected Officers' Class— County Elected Officers 16.34% Senior Management Service Class 12.67% (8) Effective July 1, 2024, allocations from the Florida Retirement System Contributions Clearing Trust Fund to investment plan member accounts are as follows:
Membership Class Percentage of Gross Compensation Regular Class 13.30% Page 15 of21 CODING:
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 Special Risk Class 22.00% Special Risk Administrative Support Class 14.95% Elected Officers' Class— Legislators, Governor, Lt.
Governor, Cabinet Officers, State Attorneys, Public Defenders 18.38% Elected Officers' Class— Justices, Judges 22.23% Elected Officers' Class— County Elected Officers 20.34% Senior Management Service Class 14.67% Section 7.
Paragraph (a) of subsection (1) of section 121.591, Florida Statutes, is amended to read:
121.591 Payment of benefits.—Benefits may not be paid under the Florida Retirement System Investment Plan unless the member has terminated employment as provided in s.
Benefits,Page including16 employeeof21 contributions,CODING: are not payable under the investment plan for employee hardships, unforeseeable emergencies, loans, medical expenses, educational expenses, purchase of a principal residence, payments necessary to prevent eviction or foreclosure on an employee's principal residence, or any other reason except a requested distribution for retirement, a mandatory de minimis distribution authorized by the administrator, or a required minimum distribution provided pursuant to the Internal Revenue Code.
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hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 Benefits, including employee contributions, are not payable under the investment plan for employee hardships, unforeseeable emergencies, loans, medical expenses, educational expenses, purchase of a principal residence, payments necessary to prevent eviction or foreclosure on an employee's principal residence, or any other reason except a requested distribution for retirement, a mandatory de minimis distribution authorized by the administrator, or a required minimum distribution provided pursuant to the Internal Revenue Code.
A de minimis account is an account containing employer and employee Pagecontributions 16and of20accumulated CODING:earnings of not more than $5,000 made under the provisions of this chapter.
Such cash-out must be a complete lump-sum liquidation of the account balance, subject Page 17 of21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed2024 1to 2024the contributionsprovisions andof accumulatedthe earningsInternal Revenue Code, or a lump-sum direct rollover distribution paid directly to the custodian of notan moreeligible thanretirement $5,000plan, madeas underdefined by the provisionsInternal Revenue Code, on behalf of thisthe chapter.member.
Such cash-out must be a complete lump-sum liquidation of the account balance, subject to the provisions of the Internal Revenue Code, or a lump-sum direct rollover distribution paid directly to the custodian of an eligible retirement plan, as defined by the Internal Revenue Code, on behalf of the member.
Any amounts transferred to the suspense account are payable upon a proper application, not to include earnings thereon, as provided in this section, within 10 years after the last day of the month in which the instrument was originally issued, after which time such amounts and any Pageearnings 17attributable of20to CODING:employer contributions shall be forfeited.
Any forfeited amounts are assets of the trust fund and are not subject to chapter 717.
Page 18 of21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 earnings(1) attributableNORMAL toBENEFITS.—Under employerthe contributionsinvestment shallplan: be forfeited.
Any forfeited amounts are assets of the trust fund and are not subject to chapter 717.
(1) NORMAL BENEFITS.—Under the investment plan:
If a member or former member of the Florida Retirement System receives an invalid distribution, such person must either repay the full amount within 90 days after receipt of final notification by the state board or the third-party administrator Pagethat 18the of20distribution CODING:was invalid, or, in lieu of repayment, the member must terminate employment from all participating employers.
If such person fails to repay the full invalid Page 19 of21 CODING:
hb0151-02-e1hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15,CS/HB151 Engrossed 1 2024 that the distribution waswithin invalid,90 or,days inafter lieureceipt of repayment,final notification, the memberperson mustmay terminatebe employmentdeemed retired from allthe participatinginvestment employers.plan by the state board and is subject to s.
If such person fails to repay the full invalid distribution within 90 days after receipt of final notification, the person may be deemed retired from the investment plan by the state board and is subject to s.
Section 5.8.
The Legislature finds that a proper and legitimate state purpose is served when employees and retirees of the state and its political subdivisions, and the dependents, survivors, and beneficiaries of such employees and retirees, are extended the basic protections afforded by governmental retirement systems that provide fair and adequate benefits and Pagethat 19are of20managed, CODING:administered, and funded in an actuarially sound manner as required by s.
Words strickenare deletions;
words underlined are additions.
hb0151-02-e1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB15, Engrossed 1 2024 that are managed, administered, and funded in an actuarially sound manner as required by s.
Therefore,Page the20 Legislatureof21 determinesCODING: and declares that this act fulfills an important state interest.
SectionWords 6.strickenare deletions;
words underlined are additions.
hb0151-01-c1 F L O R I D A H O U S E O F R E P R E S E N T A T I V E S CS/HB151 2024 Therefore, the Legislature determines and declares that this act fulfills an important state interest.
Section 9.
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