Senate Bill sb1414

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    Florida Senate - 2002                                  SB 1414

    By Senator Posey





    15-875-02

  1                      A bill to be entitled

  2         An act relating to retiree health insurance;

  3         amending s. 112.363, F.S.; revising the minimum

  4         and maximum retiree health insurance subsidies;

  5         revising the contribution paid by employers of

  6         members of state-administered retirement plans;

  7         providing effective dates.

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  9  Be It Enacted by the Legislature of the State of Florida:

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11         Section 1.  Paragraph (d) of subsection (3) of section

12  112.363, Florida Statutes, is amended, paragraph (f) is added

13  to that subsection, and paragraph (g) is added to subsection

14  (8) of that section, to read:

15         112.363  Retiree health insurance subsidy.--

16         (3)  RETIREE HEALTH INSURANCE SUBSIDY AMOUNT.--

17         (d)  Beginning January 1, 1999, each eligible retiree

18  or, if the retiree is deceased, his or her beneficiary who is

19  receiving a monthly benefit from such retiree's account and

20  who is a spouse, or a person who meets the definition of joint

21  annuitant in s. 121.021(28), shall receive a monthly retiree

22  health insurance subsidy payment equal to the number of years

23  of creditable service, as defined in s. 121.021(17), completed

24  at the time of retirement multiplied by $5; however, no

25  eligible retiree or such beneficiary may receive a subsidy

26  payment of more than $150 or less than $50, except that,

27  effective July 1, 2002, the minimum payment will be $30.  If

28  there are multiple beneficiaries, the total payment must not

29  be greater than the payment to which the retiree was entitled.

30         (f)  Beginning January 1, 2003, each eligible retiree

31  or, if the retiree is deceased, his or her beneficiary who is

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    Florida Senate - 2002                                  SB 1414
    15-875-02




  1  receiving a monthly benefit from such retiree's account and

  2  who is a spouse, or a person who meets the definition of joint

  3  annuitant in s. 121.021(28), shall receive a monthly retiree

  4  health insurance subsidy payment equal to the number of years

  5  of creditable service, as defined in s. 121.021(17), completed

  6  at the time of retirement multiplied by $10, if the retiree or

  7  beneficiary is less than age 65, and multiplied by $6.67, if

  8  the retiree or beneficiary is age 65 or older; however, an

  9  eligible retiree or beneficiary may not receive a subsidy

10  payment of more than $300 if less than 65 years of age and may

11  not receive a subsidy payment of more than $200 if age 65 or

12  older. If there are multiple beneficiaries, the total payment

13  may not be greater than the payment to which the retiree was

14  entitled.

15         (8)  CONTRIBUTIONS.--For purposes of funding the

16  insurance subsidy provided by this section:

17         (g)  Beginning July 1, 2002, the employer of each

18  member of a state-administered retirement plan shall

19  contribute .... percent of gross compensation each pay period.

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21  Such contributions shall be submitted to the Department of

22  Management Services and deposited in the Retiree Health

23  Insurance Subsidy Trust Fund.

24         Section 2.  This act shall take effect July 1, 2002.

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    Florida Senate - 2002                                  SB 1414
    15-875-02




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  2                          SENATE SUMMARY

  3    Changes the minimum retiree health insurance subsidy to
      conform to the change in requirements for eligibility for
  4    retirement under the Florida Retirement System. Increases
      the formula for calculating the subsidy, effective
  5    January 1, 2003, to $10 a month for each year of
      creditable service up to age 65 and $6.67 a month for
  6    each year of creditable service for retirees that age and
      older, with the maxima of $300 a month for retirees up to
  7    age 65 and $200 a month for retirees 65 and older.

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