Bill Text: FL H1151 | 2010 | Regular Session | Introduced
Bill Title: Municipal Police Pension Plans
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Failed) 2010-04-30 - Died in Committee on Military & Local Affairs Policy (EDCA) [H1151 Detail]
Download: Florida-2010-H1151-Introduced.html
HB 1151 |
1 | |
2 | An act relating to municipal police pension plans; |
3 | amending s. 185.35, F.S.; allowing premium tax |
4 | revenues to be used to repay an advance from the |
5 | municipality which is used to purchase an annuity to |
6 | fund the accrued liabilities of the plan; providing an |
7 | effective date. |
8 | |
9 | WHEREAS, the merger or transfer of police services to |
10 | another governmental agency has resulted in certain |
11 | municipalities closing their police retirement plans, and |
12 | WHEREAS, the continued economic welfare of the plan, its |
13 | participants, and the municipality are best served by the |
14 | expedited funding of the plan's accumulated liabilities, and |
15 | WHEREAS, the amount of insurance premium tax revenue |
16 | received annually is insufficient to permit the immediate |
17 | payment of those accumulated liabilities, and |
18 | WHEREAS, the advanced payment of the cost of those |
19 | liabilities will result in enhanced actuarial soundness for the |
20 | plan and a savings to the taxpayers, and |
21 | WHEREAS, allowing the use of premium tax revenue under |
22 | certain limited circumstances does not threaten the integrity of |
23 | the premium tax program by creating a risk that the premium |
24 | taxes will not be used solely for the retirement benefits of |
25 | police officers, NOW, THEREFORE, |
26 | |
27 | Be It Enacted by the Legislature of the State of Florida: |
28 | |
29 | Section 1. Subsection (1) of section 185.35, Florida |
30 | Statutes, is amended to read: |
31 | 185.35 Municipalities having their own pension plans for |
32 | police officers.-For any municipality, chapter plan, local law |
33 | municipality, or local law plan under this chapter, in order for |
34 | municipalities with their own pension plans for police officers, |
35 | or for police officers and firefighters where included, to |
36 | participate in the distribution of the tax fund established |
37 | pursuant to s. 185.08, local law plans must meet the minimum |
38 | benefits and minimum standards set forth in this chapter: |
39 | (1) PREMIUM TAX INCOME.- |
40 | (a) If a municipality has a pension plan for police |
41 | officers, or for police officers and firefighters where |
42 | included, which, in the opinion of the division, meets the |
43 | minimum benefits and minimum standards set forth in this |
44 | chapter, the board of trustees of the pension plan, as approved |
45 | by a majority of police officers of the municipality, may |
46 | |
47 | s. 185.08 in: |
48 | 1. The pension plan for the sole and exclusive use of its |
49 | police officers, or its police officers and firefighters where |
50 | included, where it shall become an integral part of that pension |
51 | plan and |
52 | officers included in that pension plan; or |
53 | 2. |
54 | |
55 | the police officers, or police officers and firefighters where |
56 | included, participating in the |
57 | (b) Except as provided in paragraph (c), the premium tax |
58 | must |
59 | entirety to provide extra benefits to police officers, or to |
60 | police officers and firefighters, where included. However, local |
61 | law plans in effect on October 1, 1998, must |
62 | |
63 | only to the extent that additional premium tax revenues become |
64 | available to incrementally fund the cost of such compliance as |
65 | provided in s. 185.16(2). When a plan is in compliance with the |
66 | |
67 | revenues become available, the revenues must |
68 | to provide extra benefits. For the purpose of this chapter, |
69 | "additional premium tax revenues" means revenues received by a |
70 | municipality pursuant to s. 185.10 which exceed the amount |
71 | received for calendar year 1997, and the term "extra benefits" |
72 | means benefits in addition to or greater than those provided to |
73 | general employees of the municipality and in addition to those |
74 | in existence for police officers on March 12, 1999. Local law |
75 | plans created by special act before May 23, 1939, are |
76 | deemed to comply with this chapter. |
77 | (c) In a closed plan that has fewer than five active |
78 | members where police services have been transferred or merged |
79 | with another governmental agency, the municipality may advance |
80 | payment for the cost of purchasing an annuity contract |
81 | applicable to the accrued liabilities of the plan. In such case, |
82 | the board of trustees, as approved by the members, may authorize |
83 | the repayment of the advanced cost from the future receipt of |
84 | premium taxes; however, the plan may not be deemed fully funded |
85 | until the full cost of the advanced payment has been returned to |
86 | the municipality by the plan. This paragraph does not preclude |
87 | the continued receipt of premium tax for the purpose of |
88 | providing additional benefits for active or retired police |
89 | officers as provided under paragraph (b). |
90 | Section 2. This act shall take effect July 1, 2010. |
CODING: Words |