Bill Text: FL S0242 | 2024 | Regular Session | Introduced

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Bill Title: Cost-of-living Adjustment of Retirement Benefits

Spectrum: Slight Partisan Bill (Democrat 6-2)

Status: (Failed) 2024-03-08 - Died in Governmental Oversight and Accountability [S0242 Detail]

Download: Florida-2024-S0242-Introduced.html

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       Florida Senate - 2024                                     SB 242
       
       
        
       By Senator Hooper
       
       
       
       
       
       21-00467-24                                            2024242__
    1                        A bill to be entitled                      
    2         An act relating to the cost-of-living adjustment of
    3         retirement benefits; amending s. 121.101, F.S.;
    4         revising how the cost-of-living adjustment of benefits
    5         for certain retirees and beneficiaries is calculated;
    6         providing a declaration of important state interest;
    7         providing an effective date.
    8          
    9  Be It Enacted by the Legislature of the State of Florida:
   10  
   11         Section 1. Subsection (5) of section 121.101, Florida
   12  Statutes, is amended, and subsection (3) of that section is
   13  republished, to read:
   14         121.101 Cost-of-living adjustment of benefits.—
   15         (3) Commencing July 1, 1987, the benefit of each retiree
   16  and annuitant whose effective retirement date is before July 1,
   17  2011, shall be adjusted annually on July 1 as follows:
   18         (a) For those retirees and annuitants who have never
   19  received a cost-of-living adjustment under this section, the
   20  amount of the monthly benefit payable for the 12-month period
   21  commencing on the adjustment date shall be the amount of the
   22  member’s initial benefit plus an amount equal to a percentage of
   23  the member’s initial benefit; this percentage is derived by
   24  dividing the number of months the member has received an initial
   25  benefit by 12, and multiplying the result by 3.
   26         (b) For those retirees and annuitants who have received a
   27  cost-of-living adjustment under this subsection, the adjusted
   28  monthly benefit shall be the amount of the monthly benefit being
   29  received on June 30 immediately preceding the adjustment date
   30  plus an amount equal to 3 percent of this benefit.
   31         (5) Notwithstanding subsection (4), beginning July 1, 2024,
   32  and each July 1 thereafter, the cost-of-living adjustment of
   33  each retiree and annuitant shall be adjusted subject to the
   34  availability of funding and the Legislature enacting sufficient
   35  employer contributions specifically for the purpose of funding
   36  the expiration of the cost-of-living adjustment specified in
   37  subsection (4), in accordance with s. 14, Art. X of the State
   38  Constitution, the cost-of-living adjustment formula provided for
   39  in subsection (4) shall expire effective June 30, 2016, and the
   40  benefit of each retiree and annuitant shall be adjusted on each
   41  July 1 thereafter, as provided in subsection (3).
   42         Section 2. The Legislature finds that a proper and
   43  legitimate state purpose is served when employees and retirees
   44  of the state and its political subdivisions, and the dependents,
   45  survivors, and beneficiaries of such employees and retirees, are
   46  extended the basic protections afforded by governmental
   47  retirement systems that provide fair and adequate benefits and
   48  that are managed, administered, and funded in an actuarially
   49  sound manner as required by s. 14, Article X of the State
   50  Constitution and part VII of chapter 112, Florida Statutes.
   51  Therefore, the Legislature determines and declares that this act
   52  fulfills an important state interest.
   53         Section 3. This act shall take effect July 1, 2024.