HB 7079

1	A bill to be entitled
2	An act relating to the Florida Retirement System; amending
3	s. 121.021, F.S.; redefining the terms "employer,"
4	"officer or employee," "past service," "compensation,"
5	"normal retirement date," "regularly established
6	position," and "temporary position"; defining the terms
7	"state board" and "trustees"; amending s. 121.031, F.S.;
8	requiring promotional materials that refer to the Florida
9	Retirement System to include a disclaimer unless approval
10	is obtained from the Department of Management Services or
11	the State Board of Administration; amending s. 121.051,
12	F.S.; conforming a cross-reference; revising provisions
13	relating to participation in the system; excluding the
14	participation of entities under a lease agreement;
15	excluding the participation of prisoners and inmates;
16	amending s. 121.071, F.S.; expanding the mechanisms for
17	employees to pay contributions to the system; amending s.
18	121.081, F.S.; revising provisions relating to receiving
19	credit for past or prior service; prohibiting a member
20	from receiving credit for service covered and reported by
21	both a public employer and a private employer; amending s.
22	121.091, F.S.; revising provisions relating to retirement
23	benefits; deleting a restriction on the reemployment of
24	certain personnel by the Florida School for the Deaf and
25	the Blind; extending the period of time that instructional
26	personnel employed by a developmental research school may
27	participate in the Deferred Retirement Option Program;
28	authorizing developmental research schools and charter
29	schools to reemploy certain retired members under
30	specified conditions; providing application; revising
31	provisions relating to DROP; revising eligibility
32	requirements for DROP participation; clarifying that DROP
33	participation cannot be canceled; providing for the
34	suspension of DROP benefits to a participant who is
35	reemployed; deleting obsolete provisions; authorizing the
36	Division of Retirement to issue benefits pursuant to a
37	qualified domestic relations order directly to the
38	alternate payee; amending s. 121.1115, F.S.; revising
39	provisions relating to receiving retirement credit for
40	out-of-state service; providing that a member is not
41	eligible for and may not receive a benefit based on such
42	service; amending s. 121.1122, F.S.; revising provisions
43	relating to receiving retirement credit for in-state
44	service; providing that a member may not be eligible for
45	or receive a benefit based on such service; amending s.
46	121.136, F.S.; revising provisions relating to the annual
47	statement of benefits provided to certain active members
48	of the Florida Retirement System; amending s. 121.23,
49	F.S.; authorizing the State Retirement Commission to issue
50	certain orders; requiring the commission to use the same
51	standard of proof used by the Secretary of Management
52	Services before approving a disability retirement benefit;
53	amending s. 121.24, F.S.; revising the number of members
54	required for a quorum for all appeal hearings held by the
55	State Retirement Commission; amending s. 1012.33, F.S.;
56	deleting the provision preventing persons who have retired
57	from the public school system from renewing membership in
58	the Florida Retirement System upon reemployment by the
59	school system; repealing s. 121.093, F.S., relating to
60	instructional personnel reemployment after retirement from
61	the developmental research school or the Florida School
62	for the Deaf and the Blind; repealing s. 121.094, F.S.,
63	relating to instructional personnel reemployment after
64	retirement from a charter school; repealing s. 121.45,
65	F.S., relating to interstate compacts relating to pension
66	portability; providing an effective date.
67
68	Be It Enacted by the Legislature of the State of Florida:
69
70	Section 1.  Paragraph (b) of subsection (22) and
71	subsections (10), (11), (18), (29), (52), and (53) of section
72	121.021, Florida Statutes, are amended, and subsections (63) and
73	(64) are added to that section, to read:
74	121.021  Definitions.--The following words and phrases as
75	used in this chapter have the respective meanings set forth
76	unless a different meaning is plainly required by the context:
77	(10)  "Employer" means any agency, branch, department,
78	institution, university, institution of higher education, or
79	board of the state, or any county agency, branch, department,
80	board, district school board, or special district of the state,
81	or any city of the state which participates in the system for
82	the benefit of certain of its employees, or a charter school or
83	charter technical career center that participates as provided in
84	s. 121.051(2)(d). Employers are not agents of the state board,
85	the department, or the Division of Retirement; and the state
86	board, the department, and the division are not responsible for
87	erroneous information provided by representatives of employers.
88	(11)  "Officer or employee" means any person receiving
89	salary payments for work performed in a regularly established
90	position and, if employed by a city, a metropolitan planning
91	organization, or a special district, employed in a covered
92	group. The term does not apply to:
93	(a)  State employees covered by a leasing agreement under
94	s. 110.191, other public employees covered by a leasing
95	agreement, or to a co-employer relationship.
96	(b)  Any person who is an inmate or prisoner at the time
97	the work is performed.
98	(18)  "Past service" of any member, as provided in s.
99	121.081(1), means the number of years and complete months and
100	any fractional part of a month, recognized and credited by an
101	employer and approved by the administrator, during which the
102	member was in the active employ of a governmental an employer
103	and for which the employee is not entitled to a benefit prior to
104	his or her date of participation.
105	(22)  "Compensation" means the monthly salary paid a member
106	by his or her employer for work performed arising from that
107	employment.
108	(b)  Under no circumstances shall compensation include:
109	1.  Fees paid professional persons for special or
110	particular services or include salary payments made from a
111	faculty practice plan authorized by the Board of Governors of
112	the State University System for eligible clinical faculty at a
113	state university with a faculty practice plan; or
114	2.  Any bonuses or other payments prohibited from inclusion
115	in the member's average final compensation and defined in
116	subsection (47); or
117	3.  Any payment for work given to any person who is an
118	inmate or prisoner at the time the work is performed.
119	(29)  "Normal retirement date" means the first day of any
120	month following the date a member attains normal retirement age
121	and is vested, which is determined as follows one of the
122	following statuses:
123	(a)  For If a Regular Class member, the member:
124	1.  The first day of the month the member completes 6 or
125	more years of creditable service and attains age 62; or
126	2.  The first day of the month following the date the
127	member completes 30 years of creditable service, regardless of
128	age, which may include a maximum of 4 years of military service
129	credit as long as such credit is not claimed under any other
130	system.
131	(b)  For If a Special Risk Class member, the member:
132	1.  The first day of the month the member completes 6 or
133	more years of creditable service in the Special Risk Class and
134	attains age 55;
135	2.  The first day of the month following the date the
136	member completes 25 years of creditable service in the Special
137	Risk Class, regardless of age; or
138	3.  The first day of the month following the date the
139	member completes 25 years of creditable service and attains age
140	52, which service may include a maximum of 4 years of military
141	service credit as long as such credit is not claimed under any
142	other system and the remaining years are in the Special Risk
143	Class.
144	(c)  For If a Senior Management Service Class member, the
145	member:
146	1.  The first day of the month the member completes 6 years
147	of creditable service in the Senior Management Service Class and
148	attains age 62; or
149	2.  The first day of the month following the date the
150	member completes 30 years of any creditable service, regardless
151	of age, which may include a maximum of 4 years of military
152	service credit as long as such credit is not claimed under any
153	other system.
154	(d)  For If an Elected Officers' Class member, the member:
155	1.  The first day of the month the member completes 6 years
156	of creditable service in the Elected Officers' Class and attains
157	age 62; or
158	2.  The first day of the month following the date the
159	member completes 30 years of any creditable service, regardless
160	of age, which may include a maximum of 4 years of military
161	service credit as long as such credit is not claimed under any
162	other system.
163
164	"Normal retirement age" is attained on the "normal retirement
165	date."
166	(52)  "Regularly established position" is defined as
167	follows:
168	(a)  With respect to employment for In a state employer
169	agency, the term means a position that which is authorized and
170	established pursuant to law and is compensated from a salaries
171	appropriation pursuant to s. 216.011(1)(dd), or an established
172	position which is authorized pursuant to s. 216.262(1)(a) and
173	(b) and is compensated from a salaries account as provided by
174	rule.
175	(b)  With respect to employment for In a local agency
176	(district school board, county agency, community college, city,
177	metropolitan planning organization, or special district), the
178	term means a regularly established position that which will be
179	in existence for a period beyond 6 consecutive months, except as
180	provided by rule.
181	(53)  "Temporary position" is defined as follows:
182	(a)  With respect to employment for In a state employer
183	agency, the term means an employment position that which is
184	compensated from an other personal services (OPS) account, as
185	provided for in s. 216.011(1)(dd).
186	(b)  With respect to employment for In a local employer
187	agency, the term means an employment position that which will
188	exist for less than 6 consecutive months, or other employment
189	position as determined by rule of the division, regardless of
190	whether it will exist for 6 consecutive months or longer.
191	(63)  "State board" or "board" means the State Board of
192	Administration.
193	(64)  "Trustees" means the Trustees of the State Board of
194	Administration.
195	Section 2.  Subsection (6) is added to section 121.031,
196	Florida Statutes, to read:
197	121.031  Administration of system; appropriation; oaths;
198	actuarial studies; public records.--
199	(6)  Unless prior written approval is obtained from the
200	department or state board, any promotional materials or
201	advertisements that, directly or indirectly, refer to the
202	Florida Retirement System or the FRS, must contain a disclaimer
203	that the information is not approved or endorsed by the Florida
204	Retirement System.
205	Section 3.  Paragraph (a) of subsection (1) and paragraph
206	(f) of subsection (2) of section 121.051, Florida Statutes, are
207	amended, and subsection (10) is added to that section, to read:
208	121.051  Participation in the system.--
209	(1)  COMPULSORY PARTICIPATION.--
210	(a)  The provisions of this law are shall be compulsory as
211	to all officers and employees, except elected officers who meet
212	the requirements of s. 121.052(3), who are employed on or after
213	December 1, 1970, by of an employer other than those referred to
214	in paragraph (2)(b), and each officer or employee, as a
215	condition of employment, shall become a member of the system as
216	of his or her date of employment, except that a person who is
217	retired from any state retirement system and is reemployed on or
218	after December 1, 1970, may shall not be permitted to renew his
219	or her membership in any state retirement system except as
220	provided in s. 121.091(4)(h) for a person who recovers from
221	disability, and as provided in s. 121.091(9)(b)10. s.
222	121.091(9)(b)8. for a person who is elected to public office,
223	and, effective July 1, 1991, as provided in s. 121.122 for all
224	other retirees. Officers and employees of the University
225	Athletic Association, Inc., a nonprofit association connected
226	with the University of Florida, employed on and after July 1,
227	1979, may shall not participate in any state-supported
228	retirement system. Any person appointed on or after July 1,
229	1989, to a faculty position in a college at the J. Hillis Miller
230	Health Center at the University of Florida or the Medical Center
231	at the University of South Florida which has a faculty practice
232	plan adopted provided by rule may adopted by the Board of
233	Regents shall not participate in the Florida Retirement System.
234	A faculty member so appointed shall participate in the optional
235	retirement program on the basis of his or her state-funded
236	compensation, notwithstanding the provisions of s. 121.35(2)(a).
237	(2)  OPTIONAL PARTICIPATION.--
238	(f)1.  If Whenever an employer that participates in the
239	Florida Retirement System undertakes the transfer, merger, or
240	consolidation of governmental services or assumes the functions
241	and activities of an employing governmental entity that was not
242	an employer under the system, the employer must notify the
243	department at least 60 days prior to such action and shall
244	provide documentation as required by the department. The
245	transfer, merger, or consolidation of governmental services or
246	assumption of governmental functions and activities must occur
247	between public employers. The current or former employer may pay
248	the employees' past service cost unless prohibited under this
249	chapter. This paragraph does not apply to the transfer, merger,
250	or consolidation of governmental services or assumption of
251	functions and activities of a public entity under a leasing
252	agreement having a co-employer relationship. Employers and
253	employees of a public governmental employer whose service is
254	covered by a leasing agreement under s. 110.191 or another
255	leasing agreement or by a co-employer relationship are not
256	eligible to participate in the Florida Retirement System.
257	2.  If When the agency to which a member's employing unit
258	is transferred, merged, or consolidated does not participate in
259	the Florida Retirement System, a member may shall elect in
260	writing to remain in the Florida Retirement System or to
261	transfer to the local retirement system operated by the such
262	agency. If such agency does not participate in a local
263	retirement system, the member shall continue membership in the
264	Florida Retirement System. In either case, the membership
265	continues shall continue for as long as the member is employed
266	by the agency to which his or her unit was transferred, merged,
267	or consolidated.
268	(10)  PROHIBITED PARTICIPATION.--Any person who is an
269	inmate or prisoner at the time the work is performed is
270	prohibited from participating in, or receiving benefits from,
271	any part of the Florida Retirement System based on such work.
272	Section 4.  Paragraph (a) of subsection (6) of section
273	121.071, Florida Statutes, is amended to read:
274	121.071  Contributions.--Contributions to the system shall
275	be made as follows:
276	(6)(a)  Required employee contributions for all service
277	other than current service, including, but not limited to, prior
278	service, past service, military service, leave-of-absence
279	service, out-of-state service, and certain non-Florida
280	Retirement System in-state service, shall be paid by cash,
281	personal check, cashier's check, or money order, or a direct
282	rollover or transfer from a qualified plan as provided under the
283	Internal Revenue Code. The payment must only; shall be
284	accompanied by a statement identifying the service for which
285	payment is made; and shall be made in a lump sum for the total
286	amount due or in annual payments of not less than $100, except
287	for the final payment if less than $100, unless another method
288	of payment is authorized by law or rule.
289	Section 5.  Paragraphs (f) and (h) of subsection (1) of
290	section 121.081, Florida Statutes, are amended to read:
291	121.081  Past service; prior service;
292	contributions.--Conditions under which past service or prior
293	service may be claimed and credited are:
294	(1)
295	(f)  If When any person, either prior to this act or
296	hereafter, becomes entitled to and participates does participate
297	in one of the retirement systems under consolidated within or
298	created by this chapter through the consolidation or merger of
299	governments or the transfer of functions between units of
300	government, either at the state or local level or between state
301	and local units, or through the assumption of functions or
302	activities by a state or local unit from an employing
303	governmental entity that which was not an employer under the
304	system, and such person becomes a member of the Florida
305	Retirement System, such person is shall be entitled to receive
306	past-service credit as defined in s. 121.021(18) for the time
307	the such person performed services for, and was an employee of,
308	such state or local unit or other governmental employing entity
309	prior to the transfer, merger, consolidation, or assumption of
310	functions and activities. Past-service credit allowed by this
311	paragraph is shall also be available to any person who becomes a
312	member of an existing system, as defined in s. 121.021(2), prior
313	to December 1, 1970, through the transfer, merger,
314	consolidation, or assumption of functions and activities set
315	forth in this paragraph and who subsequently becomes a member of
316	the Florida Retirement System. However, credit for the past
317	service may not be granted until contributions are made in the
318	manner provided in this subsection. If a person rejected Florida
319	Retirement System membership at the time of the transfer,
320	merger, or consolidation, or assumption, the required
321	contributions shall be at total actuarial cost as specified in
322	paragraph (e). Such contributions or accrued interest may not be
323	paid from any public state funds.
324	(h)  The following provisions apply to the purchase of past
325	service:
326	1.  Notwithstanding any of the provisions of this
327	subsection, past-service credit may not be purchased under this
328	chapter for any service that is used to obtain a pension or
329	benefit from a any local retirement system. Eligibility to
330	receive or the receipt of contributions to a retirement plan
331	made by the employer on behalf of the employee is considered a
332	benefit.
333	2.  A member may not receive past service credit under
334	paragraphs (a), (b), (e), or (f) for any leaves of absence
335	without pay, except that credit for active military service
336	leaves of absence may be claimed under paragraphs (a), (b), and
337	(f), in accordance with s. 121.111(1).
338	3.  A member may not receive past service credit for co-
339	employer service. Co-employer service or a co-employer
340	relationship is employment in a single position simultaneously
341	covered and reported by both a public employer and a private
342	employer.
343	4.3.  If a member does not want desire to receive credit
344	for all of his or her past service, the period the member claims
345	must be the most recent past service prior to his or her
346	participation in the Florida Retirement System.
347	5.4.  The cost of past service purchased by an employing
348	agency for its employees may be amortized over the such period
349	of time as is provided in the agreement, but not to exceed 15
350	years, calculated in accordance with rule 60S-1.007(5)(f),
351	Florida Administrative Code.
352	6.5.  The retirement account of each member for whom past
353	service is being provided by his or her employer shall be
354	credited with all past service the employer agrees to purchase
355	as soon as the agreement between the employer and the department
356	is executed. Pursuant thereto:
357	a.  Each such member's account shall also be posted with
358	the total contribution his or her employer agrees to make on in
359	the member's behalf for past service earned prior to October 1,
360	1975, excluding those contributions representing the employer's
361	matching share and the compound interest calculation on the
362	total contribution. However, a portion of any contributions paid
363	by an employer for past service credit earned on and after
364	October 1, 1975, may not be posted to the a member's account.
365	b.  A refund of contributions payable after an employer has
366	made a written agreement to purchase past service for employees
367	of the covered group includes shall include contributions for
368	past service which are posted to a member's account. However,
369	contributions for past service earned on and after October 1,
370	1975, are not refundable.
371	Section 6.  Paragraph (b) of subsection (9), paragraphs
372	(a), (b), and (c) of subsection (13), and paragraphs (b) through
373	(f) of subsection (14) of section 121.091, Florida Statutes, are
374	amended to read:
375	121.091  Benefits payable under the system.--Benefits may
376	not be paid under this section unless the member has terminated
377	employment as provided in s. 121.021(39)(a) or begun
378	participation in the Deferred Retirement Option Program as
379	provided in subsection (13), and a proper application has been
380	filed in the manner prescribed by the department. The department
381	may cancel an application for retirement benefits when the
382	member or beneficiary fails to timely provide the information
383	and documents required by this chapter and the department's
384	rules. The department shall adopt rules establishing procedures
385	for application for retirement benefits and for the cancellation
386	of such application when the required information or documents
387	are not received.
388	(9)  EMPLOYMENT AFTER RETIREMENT; LIMITATION.--
389	(b)1.  Any person who is retired under this chapter, except
390	under the disability retirement provisions of subsection (4),
391	may be reemployed by any private or public employer after
392	retirement and receive retirement benefits and compensation from
393	the his or her employer without limitation any limitations,
394	except that the a person may not receive both a salary from
395	reemployment with any agency participating in the Florida
396	Retirement System and retirement benefits under this chapter for
397	a period of 12 months immediately after subsequent to the date
398	of retirement. However, a DROP participant may shall continue
399	employment and receive a salary during the period of
400	participation in DROP the Deferred Retirement Option Program, as
401	provided in subsection (13).
402	2.  Any person to whom the limitation in subparagraph 1.
403	applies who violates such reemployment limitation and who is
404	reemployed with any agency participating in the Florida
405	Retirement System after he or she has been retired for 1
406	calendar month but before completion of the 12-month limitation
407	period must shall give timely notice of this fact in writing to
408	the employer and to the Division of Retirement and shall have
409	his or her retirement benefits suspended while employed during
410	for the balance of the 12-month limitation period unless the
411	person exceeds the 780-hour limitation in subparagraph 4.,
412	subparagraph 5., or subparagraph 12. Any person employed in
413	violation of this paragraph and any employing agency that which
414	knowingly employs or appoints such person without notifying the
415	division of Retirement to suspend retirement benefits are shall
416	be jointly and severally liable for reimbursement to the
417	retirement trust fund of any benefits paid during the
418	reemployment limitation period. To avoid liability, the such
419	employing agency must shall have a written statement from the
420	retiree that he or she is not retired from a state-administered
421	retirement system. Any retirement benefits received while
422	reemployed during this reemployment limitation period must shall
423	be repaid to the Florida Retirement System Trust Fund, and
424	retirement benefits shall remain suspended until such repayment
425	has been made. Benefits suspended beyond the reemployment
426	limitation shall apply toward repayment of benefits received in
427	violation of the reemployment limitation.
428	3.  A district school board may reemploy a retired member
429	as a substitute or hourly teacher, education paraprofessional,
430	transportation assistant, bus driver, or food service worker on
431	a noncontractual basis after he or she has been retired for 1
432	calendar month, in accordance with s. 121.021(39). A district
433	school board may reemploy a retired member as instructional
434	personnel, as defined in s. 1012.01(2)(a), on an annual
435	contractual basis after he or she has been retired for 1
436	calendar month, in accordance with s. 121.021(39). Any other
437	retired member who is reemployed within 1 calendar month after
438	retirement voids shall void his or her application for
439	retirement benefits. District school boards reemploying such
440	teachers, education paraprofessionals, transportation
441	assistants, bus drivers, or food service workers are subject to
442	the retirement contribution required by subparagraph 9. 7.
443	4.  A community college board of trustees may reemploy a
444	retired member as an adjunct instructor, that is, an instructor
445	who is noncontractual and part-time, or as a participant in a
446	phased retirement program within the Florida Community College
447	System, after he or she has been retired for 1 calendar month,
448	in accordance with s. 121.021(39). Any retired member who is
449	reemployed within 1 calendar month after retirement voids shall
450	void his or her application for retirement benefits. Boards of
451	trustees reemploying such instructors are subject to the
452	retirement contribution required in subparagraph 9. 7. A retired
453	member may be reemployed as an adjunct instructor for no more
454	than 780 hours during the first 12 months of retirement. Any
455	retired member reemployed for more than 780 hours during the
456	first 12 months of retirement must shall give timely notice in
457	writing to the employer and to the Division of Retirement of the
458	date he or she will exceed the limitation. The division shall
459	suspend his or her retirement benefits for the remainder of the
460	first 12 months of retirement. Any person employed in violation
461	of this subparagraph and any employing agency that which
462	knowingly employs or appoints such person without notifying the
463	division of Retirement to suspend retirement benefits are shall
464	be jointly and severally liable for reimbursement to the
465	retirement trust fund of any benefits paid during the
466	reemployment limitation period. To avoid liability, the such
467	employing agency must shall have a written statement from the
468	retiree that he or she is not retired from a state-administered
469	retirement system. Any retirement benefits received by a retired
470	member while reemployed in excess of 780 hours during the first
471	12 months of retirement must shall be repaid to the Florida
472	Retirement System Trust Fund, and retirement benefits shall
473	remain suspended until repayment is made. Benefits suspended
474	beyond the end of the retired member's first 12 months of
475	retirement shall apply toward repayment of benefits received in
476	violation of the 780-hour reemployment limitation.
477	5.  The State University System may reemploy a retired
478	member as an adjunct faculty member or as a participant in a
479	phased retirement program within the State University System
480	after the retired member has been retired for 1 calendar month,
481	in accordance with s. 121.021(39). Any retired member who is
482	reemployed within 1 calendar month after retirement shall void
483	voids his or her application for retirement benefits. The State
484	University System is subject to the retired contribution
485	required in subparagraph 9. 7., as appropriate. A retired member
486	may be reemployed as an adjunct faculty member or a participant
487	in a phased retirement program for no more than 780 hours during
488	the first 12 months of his or her retirement. Any retired member
489	reemployed for more than 780 hours during the first 12 months of
490	retirement must shall give timely notice in writing to the
491	employer and to the Division of Retirement of the date he or she
492	will exceed the limitation. The division shall suspend his or
493	her retirement benefits for the remainder of the first 12 months
494	of retirement. Any person employed in violation of this
495	subparagraph and any employing agency that which knowingly
496	employs or appoints such person without notifying the division
497	of Retirement to suspend retirement benefits are shall be
498	jointly and severally liable for reimbursement to the retirement
499	trust fund of any benefits paid during the reemployment
500	limitation period. To avoid liability, such employing agency
501	must shall have a written statement from the retiree that he or
502	she is not retired from a state-administered retirement system.
503	Any retirement benefits received by a retired member while
504	reemployed in excess of 780 hours during the first 12 months of
505	retirement must shall be repaid to the Florida Retirement System
506	Trust Fund, and retirement benefits shall remain suspended until
507	repayment is made. Benefits suspended beyond the end of the
508	retired member's first 12 months of retirement shall apply
509	toward repayment of benefits received in violation of the 780-
510	hour reemployment limitation.
511	6.  The Board of Trustees of the Florida School for the
512	Deaf and the Blind may reemploy a retired member as a substitute
513	teacher, substitute residential instructor, or substitute nurse
514	on a noncontractual basis after he or she has been retired for 1
515	calendar month, in accordance with s. 121.021(39). The Board of
516	Trustees of the Florida School for the Deaf and the Blind may
517	reemploy a retired member as instructional personnel, as defined
518	in s. 1012.01(2)(a), on an annual contractual basis after he or
519	she has been retired for 1 calendar month, in accordance with s.
520	121.021(39). Any retired member who is reemployed within 1
521	calendar month after retirement voids shall void his or her
522	application for retirement benefits. The Board of Trustees of
523	the Florida School for the Deaf and the Blind reemploying such
524	teachers, residential instructors, or nurses is subject to the
525	retirement contribution required by subparagraph 9. 7.
526	Reemployment of a retired member as a substitute teacher,
527	substitute residential instructor, or substitute nurse is
528	limited to 780 hours during the first 12 months of his or her
529	retirement. Any retired member reemployed for more than 780
530	hours during the first 12 months of retirement shall give timely
531	notice in writing to the employer and to the division of the
532	date he or she will exceed the limitation. The division shall
533	suspend his or her retirement benefits for the remainder of the
534	first 12 months of retirement. Any person employed in violation
535	of this subparagraph and any employing agency which knowingly
536	employs or appoints such person without notifying the Division
537	of Retirement to suspend retirement benefits shall be jointly
538	and severally liable for reimbursement to the retirement trust
539	fund of any benefits paid during the reemployment limitation
540	period. To avoid liability, such employing agency shall have a
541	written statement from the retiree that he or she is not retired
542	from a state-administered retirement system. Any retirement
543	benefits received by a retired member while reemployed in excess
544	of 780 hours during the first 12 months of retirement shall be
545	repaid to the Retirement System Trust Fund, and his or her
546	retirement benefits shall remain suspended until payment is
547	made. Benefits suspended beyond the end of the retired member's
548	first 12 months of retirement shall apply toward repayment of
549	benefits received in violation of the 780-hour reemployment
550	limitation.
551	7.  A developmental research school may reemploy a retired
552	member as a substitute or hourly teacher or an education
553	paraprofessional as defined in s. 1012.01(2) on a noncontractual
554	basis after he or she has been retired for 1 calendar month, in
555	accordance with s. 121.021(39). A developmental research school
556	may reemploy a retired member as instructional personnel, as
557	defined in s. 1012.01(2)(a), on an annual contractual basis
558	after he or she has been retired for 1 calendar month, in
559	accordance with s. 121.021(39). Any other retired member who is
560	reemployed within 1 calendar month after retirement voids his or
561	her application for retirement benefits. A developmental
562	research school that reemploys retired teachers and education
563	paraprofessionals are subject to the retirement contribution
564	required by subparagraph 9.
565	8.  A charter school may reemploy a retired member as a
566	substitute or hourly teacher on a noncontractual basis after he
567	or she has been retired for 1 calendar month, in accordance with
568	s. 121.021(39). A charter school may reemploy a retired member
569	as instructional personnel, as defined in s. 1012.01(2)(a), on
570	an annual contractual basis after he or she has been retired for
571	1 calendar month, in accordance with s. 121.021(39). Any other
572	retired member who is reemployed within 1 calendar month after
573	retirement voids his or her application for retirement benefits.
574	A charter school that reemploys such teachers is subject to the
575	retirement contribution required by subparagraph 9.
576	9.7.  The employment by an employer of a any retiree or
577	DROP participant of a any state-administered retirement system
578	does not affect shall have no effect on the average final
579	compensation or years of creditable service of the retiree or
580	DROP participant. Prior to July 1, 1991, upon employment of any
581	person, other than an elected officer as provided in s. 121.053,
582	who is has been retired under a any state-administered
583	retirement program, the employer shall pay retirement
584	contributions in an amount equal to the unfunded actuarial
585	liability portion of the employer contribution which would be
586	required for regular members of the Florida Retirement System.
587	Effective July 1, 1991, contributions shall be made as provided
588	in s. 121.122 for retirees who have with renewed membership or,
589	as provided in subsection (13), for with respect to DROP
590	participants.
591	10.8.  Any person who has previously retired and who is
592	holding an elective public office or an appointment to an
593	elective public office eligible for the Elected Officers' Class
594	on or after July 1, 1990, shall be enrolled in the Florida
595	Retirement System as provided in s. 121.053(1)(b) or, if holding
596	an elective public office that does not qualify for the Elected
597	Officers' Class on or after July 1, 1991, shall be enrolled in
598	the Florida Retirement System as provided in s. 121.122, and
599	shall continue to receive retirement benefits as well as
600	compensation for the elected officer's service for as long as he
601	or she remains in elective office. However, any retired member
602	who served in an elective office prior to July 1, 1990,
603	suspended his or her retirement benefit, and had his or her
604	Florida Retirement System membership reinstated shall, upon
605	retirement from such office, have his or her retirement benefit
606	recalculated to include the additional service and compensation
607	earned.
608	11.9.  Any person who is holding an elective public office
609	which is covered by the Florida Retirement System and who is
610	concurrently employed in nonelected covered employment may elect
611	to retire while continuing employment in the elective public
612	office, if provided that he or she terminates shall be required
613	to terminate his or her nonelected covered employment. Any
614	person who exercises this election shall receive his or her
615	retirement benefits in addition to the compensation of the
616	elective office without regard to the time limitations otherwise
617	provided in this subsection. A No person who seeks to exercise
618	the provisions of this subparagraph, as they the same existed
619	prior to May 3, 1984, may not shall be deemed to be retired
620	under those provisions, unless such person is eligible to retire
621	under the provisions of this subparagraph, as amended by chapter
622	84-11, Laws of Florida.
623	10.  The limitations of this paragraph apply to
624	reemployment in any capacity with an "employer" as defined in s.
625	121.021(10), irrespective of the category of funds from which
626	the person is compensated.
627	12.11.  An employing agency may reemploy a retired member
628	as a firefighter or paramedic after the retired member has been
629	retired for 1 calendar month, in accordance with s. 121.021(39).
630	Any retired member who is reemployed within 1 calendar month
631	after retirement voids shall void his or her application for
632	retirement benefits. The employing agency reemploying such
633	firefighter or paramedic is subject to the retired contribution
634	required in subparagraph 9. 8. Reemployment of a retired
635	firefighter or paramedic is limited to no more than 780 hours
636	during the first 12 months of his or her retirement. Any retired
637	member reemployed for more than 780 hours during the first 12
638	months of retirement must shall give timely notice in writing to
639	the employer and to the Division of Retirement of the date he or
640	she will exceed the limitation. The division shall suspend his
641	or her retirement benefits for the remainder of the first 12
642	months of retirement. Any person employed in violation of this
643	subparagraph and any employing agency that which knowingly
644	employs or appoints such person without notifying the division
645	of Retirement to suspend retirement benefits shall be jointly
646	and severally liable for reimbursement to the Retirement System
647	Trust Fund of any benefits paid during the reemployment
648	limitation period. To avoid liability, such employing agency
649	must shall have a written statement from the retiree that he or
650	she is not retired from a state-administered retirement system.
651	Any retirement benefits received by a retired member while
652	reemployed in excess of 780 hours during the first 12 months of
653	retirement must shall be repaid to the Florida Retirement System
654	Trust Fund, and retirement benefits shall remain suspended until
655	repayment is made. Benefits suspended beyond the end of the
656	retired member's first 12 months of retirement shall apply
657	toward repayment of benefits received in violation of the 780-
658	hour reemployment limitation.
659	13.  The limitations of this paragraph apply to
660	reemployment in any capacity with an employer irrespective of
661	the category of funds from which the person is compensated.
662	14.  The reemployment after retirement provisions of this
663	paragraph apply to DROP participants effective upon termination
664	from employment and the end of DROP participation.
665	(13)  DEFERRED RETIREMENT OPTION PROGRAM.--In general, and
666	subject to the provisions of this section, the Deferred
667	Retirement Option Program, hereinafter referred to as the DROP,
668	is a program under which an eligible member of the Florida
669	Retirement System may elect to participate, deferring receipt of
670	retirement benefits while continuing employment with his or her
671	Florida Retirement System employer. The deferred monthly
672	benefits shall accrue in the System Trust Fund on behalf of the
673	participant, plus interest compounded monthly, for the specified
674	period of the DROP participation, as provided in paragraph (c).
675	Upon termination of employment, the participant shall receive
676	the total DROP benefits and begin to receive the previously
677	determined normal retirement benefits. Participation in the DROP
678	does not guarantee employment for the specified period of DROP.
679	Participation in the DROP by an eligible member beyond the
680	initial 60-month period as authorized in this subsection shall
681	be on an annual contractual basis for all participants.
682	(a)  Eligibility of member to participate in the DROP.--All
683	active Florida Retirement System members in a regularly
684	established position, and all active members of either the
685	Teachers' Retirement System established in chapter 238 or the
686	State and County Officers' and Employees' Retirement System
687	established in chapter 122, which systems are consolidated
688	within the Florida Retirement System under s. 121.011, are
689	eligible to elect participation in the DROP if provided that:
690	1.  The member is not a renewed member of the Florida
691	Retirement System under s. 121.122, or a member of the State
692	Community College System Optional Retirement Program under s.
693	121.051, the Senior Management Service Optional Annuity Program
694	under s. 121.055, or the optional retirement program for the
695	State University System under s. 121.35.
696	2.  Except as provided in subparagraph 6., election to
697	participate is made within 12 months immediately following the
698	date on which the member first reaches normal retirement date,
699	or, for a member who reaches normal retirement date based on
700	service before he or she reaches age 62, or age 55 for Special
701	Risk Class members, election to participate may be deferred to
702	the 12 months immediately following the date the member attains
703	57, or age 52 for Special Risk Class members. For a member who
704	first reached normal retirement date or the deferred eligibility
705	date described above prior to the effective date of this
706	section, election to participate shall be made within 12 months
707	after the effective date of this section. A member who fails to
708	make an election within the such 12-month limitation period
709	forfeits shall forfeit all rights to participate in the DROP.
710	The member shall advise his or her employer and the division in
711	writing of the date on which the DROP begins shall begin. The
712	Such beginning date may be subsequent to the 12-month election
713	period, but must be within the original 60-month participation
714	or, with respect to members who are instructional personnel
715	employed by the Florida School for the Deaf and the Blind and
716	who have received authorization by the Board of Trustees of the
717	Florida School for the Deaf and the Blind to participate in the
718	DROP beyond 60 months, or who are instructional personnel as
719	defined in s. 1012.01(2)(a)-(d) in grades K-12 and who have
720	received authorization by the district school superintendent to
721	participate in the DROP beyond 60 months, the 96-month
722	limitation period as provided in subparagraph (b)1. When
723	establishing eligibility of the member to participate in the
724	DROP for the 60-month or, with respect to members who are
725	instructional personnel employed by the Florida School for the
726	Deaf and the Blind and who have received authorization by the
727	Board of Trustees of the Florida School for the Deaf and the
728	Blind to participate in the DROP beyond 60 months, or who are
729	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
730	grades K-12 and who have received authorization by the district
731	school superintendent to participate in the DROP beyond 60
732	months, the 96-month maximum participation period, the member
733	may elect to include or exclude any optional service credit
734	purchased by the member from the total service used to establish
735	the normal retirement date. A member who has with dual normal
736	retirement dates is shall be eligible to elect to participate in
737	DROP within 12 months after attaining normal retirement date in
738	either class.
739	3.  The employer of a member electing to participate in the
740	DROP, or employers if dually employed, shall acknowledge in
741	writing to the division the date the member's participation in
742	the DROP begins and the date the member's employment and DROP
743	participation will terminate.
744	4.  Simultaneous employment of a participant by additional
745	Florida Retirement System employers subsequent to the
746	commencement of participation in the DROP is shall be
747	permissible if provided such employers acknowledge in writing a
748	DROP termination date no later than the participant's existing
749	termination date or the maximum participation 60-month
750	limitation period as provided in subparagraph (b)1.
751	5.  A DROP participant may change employers while
752	participating in the DROP, subject to the following:
753	a.  A change of employment must take place without a break
754	in service so that the member receives salary for each month of
755	continuous DROP participation. If a member receives no salary
756	during a month, DROP participation shall cease unless the
757	employer verifies a continuation of the employment relationship
758	for such participant pursuant to s. 121.021(39)(b).
759	b.  Such participant and new employer shall notify the
760	division of the identity of the new employer on forms required
761	by the division as to the identity of the new employer.
762	c.  The new employer shall acknowledge, in writing, the
763	participant's DROP termination date, which may be extended but
764	not beyond the maximum participation original 60-month or, with
765	respect to members who are instructional personnel employed by
766	the Florida School for the Deaf and the Blind and who have
767	received authorization by the Board of Trustees of the Florida
768	School for the Deaf and the Blind to participate in the DROP
769	beyond 60 months, or who are instructional personnel as defined
770	in s. 1012.01(2)(a)-(d) in grades K-12 and who have received
771	authorization by the district school superintendent to
772	participate in the DROP beyond 60 months, the 96-month period
773	provided in subparagraph (b)1., shall acknowledge liability for
774	any additional retirement contributions and interest required if
775	the participant fails to timely terminate employment, and is
776	shall be subject to the adjustment required in sub-subparagraph
777	(c)5.d.
778	6.  Effective July 1, 2001, for instructional personnel as
779	defined in s. 1012.01(2), election to participate in the DROP
780	may shall be made at any time following the date on which the
781	member first reaches normal retirement date. The member shall
782	advise his or her employer and the division in writing of the
783	date on which DROP begins the Deferred Retirement Option Program
784	shall begin. When establishing eligibility of the member to
785	participate in the DROP for the 60-month or, with respect to
786	members who are instructional personnel employed by the Florida
787	School for the Deaf and the Blind and who have received
788	authorization by the Board of Trustees of the Florida School for
789	the Deaf and the Blind to participate in the DROP beyond 60
790	months, or who are instructional personnel as defined in s.
791	1012.01(2)(a)-(d) in grades K-12 and who have received
792	authorization by the district school superintendent to
793	participate in the DROP beyond 60 months, the 96-month maximum
794	participation period, as provided in subparagraph (b)1., the
795	member may elect to include or exclude any optional service
796	credit purchased by the member from the total service used to
797	establish the normal retirement date. A member who has with dual
798	normal retirement dates is shall be eligible to elect to
799	participate in either class.
800	(b)  Participation in the DROP.--
801	1.a.  An eligible member may elect to participate in the
802	DROP for a period not to exceed a maximum of 60 calendar months
803	or, except as provided in sub-subparagraph b.
804	b.  with respect to Members who are instructional personnel
805	employed by the Florida School for the Deaf and the Blind and
806	who are authorized who have received authorization by the Board
807	of Trustees of the Florida School for the Deaf and the Blind to
808	participate in the DROP beyond 60 months, or who are
809	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
810	grades K-12 and who are authorized who have received
811	authorization by the district school superintendent to
812	participate in the DROP beyond 60 calendar months, or who are
813	instructional personnel as defined in s. 1012.01(2) employed by
814	a developmental research school and who are authorized by the
815	school's director, or if the school has no director, by the
816	school's principal, to participate in DROP beyond the original
817	60-month period, for up to 36 96 calendar months immediately
818	following the DROP termination date selected for participation
819	in sub-subparagraph a. on which the member first reaches his or
820	her normal retirement date or the date to which he or she is
821	eligible to defer his or her election to participate as provided
822	in subparagraph (a)2. However, a member who has reached normal
823	retirement date prior to the effective date of the DROP shall be
824	eligible to participate in the DROP for a period of time not to
825	exceed 60 calendar months or, with respect to members who are
826	instructional personnel employed by the Florida School for the
827	Deaf and the Blind and who have received authorization by the
828	Board of Trustees of the Florida School for the Deaf and the
829	Blind to participate in the DROP beyond 60 months, or who are
830	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
831	grades K-12 and who have received authorization by the district
832	school superintendent to participate in the DROP beyond 60
833	calendar months, 96 calendar months immediately following the
834	effective date of the DROP, except a member of the Special Risk
835	Class who has reached normal retirement date prior to the
836	effective date of the DROP and whose total accrued value exceeds
837	75 percent of average final compensation as of his or her
838	effective date of retirement shall be eligible to participate in
839	the DROP for no more than 36 calendar months immediately
840	following the effective date of the DROP.
841	2.  Upon deciding to participate in the DROP, the member
842	shall submit, on forms required by the division:
843	a.  A written election to participate in the DROP;
844	b.  Selection of the DROP participation and termination
845	dates, which satisfy the limitations stated in paragraph (a) and
846	subparagraph 1. The Such termination date must shall be in a
847	binding letter of resignation to with the employer, establishing
848	a deferred termination date. The member may change the
849	termination date within the limitations of subparagraph 1., but
850	only with the written approval of the his or her employer;
851	c.  A properly completed DROP application for service
852	retirement as provided in this section; and
853	d.  Any other information required by the division.
854	3.  The DROP participant is shall be a retiree under the
855	Florida Retirement System for all purposes, except for paragraph
856	(5)(f) and subsection (9) and ss. 112.3173, 112.363, 121.053,
857	and 121.122. DROP participation is final and cannot be canceled
858	by the participant after the first payment is credited during
859	the DROP participation period. However, participation in the
860	DROP does not alter the participant's employment status and the
861	member is such employee shall not be deemed retired from
862	employment until his or her deferred resignation is effective
863	and termination occurs as provided in s. 121.021(39).
864	4.  Elected officers are shall be eligible to participate
865	in the DROP subject to the following:
866	a.  An elected officer who reaches normal retirement date
867	during a term of office may defer the election to participate in
868	the DROP until the next succeeding term in that office. An Such
869	elected officer who exercises this option may participate in the
870	DROP for up to 60 calendar months or a period of no longer than
871	the such succeeding term of office, whichever is less.
872	b.  An elected or a nonelected participant may run for a
873	term of office while participating in DROP and, if elected,
874	extend the DROP termination date accordingly, except, however,
875	if such additional term of office exceeds the 60-month
876	limitation established in subparagraph 1., and the officer does
877	not resign from office within such 60-month limitation, the
878	retirement and the participant's DROP is shall be null and void
879	as provided in sub-subparagraph (c)5.d.
880	c.  An elected officer who is dually employed and elects to
881	participate in DROP must shall be required to satisfy the
882	definition of termination within the 60-month or maximum
883	participation, with respect to members who are instructional
884	personnel employed by the Florida School for the Deaf and the
885	Blind and who have received authorization by the Board of
886	Trustees of the Florida School for the Deaf and the Blind to
887	participate in the DROP beyond 60 months, or who are
888	instructional personnel as defined in s. 1012.01(2)(a)-(d) in
889	grades K-12 and who have received authorization by the district
890	school superintendent to participate in the DROP beyond 60
891	months, the 96-month limitation period as provided in
892	subparagraph 1. for the nonelected position and may continue
893	employment as an elected officer as provided in s. 121.053. The
894	elected officer shall will be enrolled as a renewed member in
895	the Elected Officers' Class or the Regular Class, as provided in
896	ss. 121.053 and 121.122, on the first day of the month after
897	termination of employment in the nonelected position and
898	termination of DROP. Distribution of the DROP benefits shall be
899	made as provided in paragraph (c).
900	(c)  Benefits payable under the DROP.--
901	1.  Effective on with the date of DROP participation, the
902	member's initial normal monthly benefit, including creditable
903	service, optional form of payment, and average final
904	compensation, and the effective date of retirement are shall be
905	fixed. The beneficiary established under the Florida Retirement
906	System shall be the beneficiary eligible to receive any DROP
907	benefits payable if the DROP participant dies prior to the
908	completion of the period of DROP participation. If In the event
909	a joint annuitant predeceases the member, the member may name a
910	beneficiary to receive accumulated DROP benefits payable. The
911	Such retirement benefit, the annual cost of living adjustments
912	provided in s. 121.101, and interest shall accrue monthly in the
913	Florida Retirement System Trust Fund. The Such interest shall
914	accrue at an effective annual rate of 6.5 percent compounded
915	monthly, on the prior month's accumulated ending balance, up to
916	the month of termination or death.
917	2.  Each employee who elects to participate in the DROP may
918	shall be allowed to elect to receive a lump-sum payment for
919	accrued annual leave earned in accordance with agency policy
920	upon beginning participation in the DROP. The Such accumulated
921	leave payment certified to the division upon commencement of
922	DROP shall be included in the calculation of the member's
923	average final compensation. The employee electing the such lump-
924	sum payment is upon beginning participation in DROP will not be
925	eligible to receive a second lump-sum payment upon termination,
926	except to the extent the employee has earned additional annual
927	leave which, combined with the original payment, does not exceed
928	the maximum lump-sum payment allowed by the employing agency's
929	policy or rules. An Such early lump-sum payment shall be based
930	on the hourly wage of the employee at the time he or she begins
931	participation in the DROP. If the member elects to wait and
932	receive a such lump-sum payment upon termination of DROP and
933	termination of employment with the employer, any accumulated
934	leave payment made at that time may not cannot be included in
935	the member's retirement benefit, which was determined and fixed
936	by law when the employee elected to participate in the DROP.
937	3.  The effective date of DROP participation and the
938	effective date of retirement of a DROP participant shall be the
939	first day of the month selected by the member to begin
940	participation in the DROP, provided such date is properly
941	established, with the written confirmation of the employer, and
942	the approval of the division, on forms required by the division.
943	4.  Normal retirement benefits and any interest thereon
944	shall continue to accrue in the DROP until the established
945	termination date of the DROP, or until the participant
946	terminates employment or dies prior to such date. Although
947	individual DROP accounts shall not be established, a separate
948	accounting of each participant's accrued benefits under the DROP
949	shall be calculated and provided to participants.
950	5.  At the conclusion of the participant's DROP, the
951	division shall distribute the participant's total accumulated
952	DROP benefits, subject to the following provisions:
953	a.  The division shall receive verification by the
954	participant's employer or employers that the such participant
955	has terminated employment as provided in s. 121.021(39)(b).
956	b.  The terminated DROP participant or, if deceased, the
957	such participant's named beneficiary, shall elect on forms
958	provided by the division to receive payment of the DROP benefits
959	in accordance with one of the options listed below. If For a
960	participant or beneficiary who fails to elect a method of
961	payment within 60 days of termination of the DROP, the division
962	shall will pay a lump sum as provided in sub-sub-subparagraph
963	(I).
964	(I)  Lump sum.--All accrued DROP benefits, plus interest,
965	less withholding taxes remitted to the Internal Revenue Service,
966	shall be paid to the DROP participant or surviving beneficiary.
967	(II)  Direct rollover.--All accrued DROP benefits, plus
968	interest, shall be paid from the DROP directly to the custodian
969	of an eligible retirement plan as defined in s. 402(c)(8)(B) of
970	the Internal Revenue Code. However, in the case of an eligible
971	rollover distribution to the surviving spouse of a deceased
972	participant, an eligible retirement plan is an individual
973	retirement account or an individual retirement annuity as
974	described in s. 402(c)(9) of the Internal Revenue Code.
975	(III)  Partial lump sum.--A portion of the accrued DROP
976	benefits shall be paid to the DROP participant or surviving
977	spouse, less withholding taxes remitted to the Internal Revenue
978	Service, and the remaining DROP benefits shall be transferred
979	directly to the custodian of an eligible retirement plan as
980	defined in s. 402(c)(8)(B) of the Internal Revenue Code.
981	However, in the case of an eligible rollover distribution to the
982	surviving spouse of a deceased participant, an eligible
983	retirement plan is an individual retirement account or an
984	individual retirement annuity as described in s. 402(c)(9) of
985	the Internal Revenue Code. The proportions shall be specified by
986	the DROP participant or surviving beneficiary.
987	c.  The form of payment selected by the DROP participant or
988	surviving beneficiary must comply complies with the minimum
989	distribution requirements of the Internal Revenue Code.
990	d.  A DROP participant who fails to terminate employment as
991	defined in s. 121.021(39)(b) shall be deemed as not to be
992	retired, and the DROP election is shall be null and void.
993	Florida Retirement System membership shall be reestablished
994	retroactively to the date of the commencement of the DROP, and
995	each employer with whom the participant continues employment
996	must shall be required to pay to the Florida Retirement System
997	Trust Fund the difference between the DROP contributions paid in
998	paragraph (i) and the contributions required for the applicable
999	Florida Retirement System class of membership during the period
1000	the member participated in the DROP, plus 6.5 percent interest
1001	compounded annually.
1002	6.  The retirement benefits of any DROP participant who
1003	meets the definition of termination, as provided in s.
1004	121.021(39)(b), but is in violation of the reemployment
1005	provisions as provided in subsection (9), shall be suspended
1006	during those months in which the member is in violation. Any
1007	member employed in violation of this subparagraph and any
1008	employing agency that knowingly employs or appoints such member
1009	without notifying the Division of Retirement to suspend
1010	retirement benefits are jointly and severally liable for any
1011	benefits paid during the reemployment limitation period. To
1012	avoid liability, the employing agency must have a written
1013	statement from the retiree that he or she is not retired from a
1014	state-administered retirement system. Any retirement benefits
1015	received by a retired member while employed in violation of the
1016	reemployment limitations during the first 12 months of
1017	retirement must be repaid to the Florida Retirement System Trust
1018	Fund, and his or her retirement benefits shall remain suspended
1019	until payment is made. Benefits suspended beyond the end of the
1020	retired member's first 12 months of retirement shall apply
1021	toward repayment of benefits received in violation of the
1022	reemployment limitations.
1023	7.6.  The accrued benefits of any DROP participant, and any
1024	contributions accumulated under the such program, are shall not
1025	be subject to assignment, execution, attachment, or to any legal
1026	process whatsoever, except for qualified domestic relations
1027	orders by a court of competent jurisdiction, income deduction
1028	orders as provided in s. 61.1301, and federal income tax levies.
1029	8.7.  DROP participants are shall not be eligible for
1030	disability retirement benefits as provided in subsection (4).
1031	(14)  PAYMENT OF BENEFITS.--This subsection applies to the
1032	payment of benefits to a payee (retiree or beneficiary) under
1033	the Florida Retirement System:
1034	(b)  Subject to approval by the division in accordance with
1035	rule 60S-4.015, Florida Administrative Code, a payee receiving
1036	retirement benefits under the Florida Retirement system may also
1037	have the following payments deducted from his or her monthly
1038	benefit:
1039	1.  Premiums for life and health-related insurance policies
1040	from approved companies.
1041	2.  Life insurance premiums for the State Group Life
1042	Insurance Plan, if authorized in writing by the payee and by the
1043	department of Management Services.
1044	3.  Repayment of overpayments from the Florida Retirement
1045	System Trust Fund, the State Employees' Health Insurance Trust
1046	Fund, or the State Employees' Life Insurance Trust Fund, upon
1047	notification of the payee.
1048	4.  Payments to an alternate payee for alimony or, child
1049	support pursuant to an income deduction order under s. 61.1301,
1050	or division of marital assets pursuant to a qualified domestic
1051	relations order under s. 222.21 or an income deduction order
1052	under s. 61.1301.
1053	5.  Payments to the Internal Revenue Service for federal
1054	income tax levies, upon notification of the division by the
1055	Internal Revenue Service.
1056	(c)  A payee must shall notify the division of any change
1057	in his or her address. The division may suspend benefit payments
1058	to a payee if correspondence sent to the payee's mailing address
1059	is returned due to an incorrect address. Benefit payments shall
1060	be resumed upon notification to the division of the payee's new
1061	address.
1062	(d)  A payee whose retirement benefits are reduced by the
1063	application of maximum benefit limits under s. 415(b) of the
1064	Internal Revenue Code, as specified in s. 121.30(5), shall have
1065	the portion of his or her calculated benefit in the Florida
1066	Retirement System defined benefit plan which exceeds such
1067	federal limitation paid through the Florida Retirement System
1068	Preservation of Benefits Plan, as provided in s. 121.1001.
1069	(e)  The Division of Retirement may issue retirement
1070	benefits payable for division of marital assets pursuant to a
1071	qualified domestic relations order directly to the alternate
1072	payee, any court order to the contrary notwithstanding, in order
1073	to meet Internal Revenue Code requirements.
1074	(f)(e)  A No benefit may not be reduced for the purpose of
1075	preserving the member's eligibility for a federal program.
1076	(g)(f)  The division shall adopt rules establishing
1077	procedures for determining that the persons to whom benefits are
1078	being paid are still living. The division shall suspend the
1079	benefits being paid to any payee if when it is unable to contact
1080	such payee and to confirm that he or she is still living.
1081	Section 7.  Section 121.1115, Florida Statutes, is amended
1082	to read:
1083	121.1115  Purchase of retirement credit for out-of-state or
1084	and federal service.--Effective January 1, 1995, A member of the
1085	Florida Retirement System may purchase creditable service for
1086	periods of public employment in another state and receive
1087	creditable service for such periods of employment. Service with
1088	the Federal Government, including any active military service,
1089	may be claimed. Upon completion of each year of service earned
1090	under the Florida Retirement System, a member may purchase up to
1091	1 year of retirement credit for his or her out-of-state service,
1092	subject to the following provisions:
1093	(1)  LIMITATIONS AND CONDITIONS.--To receive credit for the
1094	out-of-state service:
1095	(a)  The out-of-state service being claimed must have been:
1096	1.  Performed in a position of employment with the state or
1097	a political subdivision thereof or with the Federal Government;
1098	2.  Covered by a retirement or pension plan provided by the
1099	state or political subdivision, or by the Federal Government, as
1100	appropriate; and
1101	3.  Performed prior to a period of membership in the
1102	Florida Retirement System.
1103	(b)  The member must have completed a minimum of 6 years of
1104	creditable service under the Florida Retirement System,
1105	excluding out-of-state service and in-state service claimed and
1106	purchased under s. 121.1122.
1107	(c)  Not more than 5 years of creditable service may be
1108	claimed for creditable service aggregated under the provisions
1109	of this section and s. 121.1122.
1110	(d)  The out-of-state service credit claimed under this
1111	section shall be credited only as service in the Regular Class
1112	of membership, and any benefit or pension based thereon is shall
1113	be subject to the limitations and restrictions of s. 112.65.
1114	(e)  The member is not eligible for and may not receive a
1115	pension or benefit from a retirement or pension plan based on or
1116	including the out-of-state service. Eligibility for or the
1117	receipt of contributions to a retirement plan made by the
1118	employer on behalf of the employee is considered a benefit.
1119	(f)(e)  To receive A member shall be eligible to receive
1120	service credit for out-of-state service performed after leaving
1121	the Florida Retirement System, the member must complete only
1122	upon return to membership and completion of at least 1 year of
1123	creditable service in the Florida Retirement System following
1124	the out-of-state service.
1125	(2)  COST.--For each year claimed, the member must pay into
1126	the Florida Retirement System Trust Fund an amount equal to 20
1127	percent of the member's annual compensation for the first full
1128	work year of creditable service earned under the Florida
1129	Retirement System, but not less than $12,000, plus interest at
1130	6.5 percent compounded annually from the date of first annual
1131	salary earned until full payment is made. The employer may pay
1132	all or a portion of the cost of this service credit.
1133	Section 8.  Subsection (2) of section 121.1122, Florida
1134	Statutes, is amended to read:
1135	121.1122  Purchase of retirement credit for in-state public
1136	service and in-state service in accredited nonpublic schools and
1137	colleges, including charter schools and charter technical career
1138	centers.--Effective January 1, 1998, a member of the Florida
1139	Retirement System may purchase creditable service for periods of
1140	certain public or nonpublic employment performed in this state,
1141	as provided in this section.
1142	(2)  LIMITATIONS AND CONDITIONS.--
1143	(a)  A member is not eligible to receive credit for in-
1144	state service under this section until he or she has completed 6
1145	years of creditable service under the Florida Retirement System,
1146	excluding service purchased under this section and out-of-state
1147	service claimed and purchased under s. 121.1115.
1148	(b)  A member may not purchase and receive credit for more
1149	than 5 years of creditable service aggregated under the
1150	provisions of this section and s. 121.1115.
1151	(c)  Service credit claimed under this section shall be
1152	credited only as service in the Regular Class of membership and
1153	is shall be subject to the provisions of s. 112.65.
1154	(d)  Service credit may not be purchased under this section
1155	if the member is eligible to receive or is receiving a pension
1156	or benefit from a retirement or pension plan based on or
1157	including the service. Eligibility for or the receipt of
1158	contributions to a retirement plan made by the employer on
1159	behalf of the employee is considered a benefit.
1160	(e)(d)  A member is shall be eligible to receive service
1161	credit for in-state service performed after leaving the Florida
1162	Retirement System only after upon returning to membership and
1163	completing at least 1 year of creditable service in the Florida
1164	Retirement System following the in-state service.
1165	(f)(e)  The service claimed must have been service covered
1166	by a retirement or pension plan provided by the employer.
1167	Section 9.  Section 121.136, Florida Statutes, is amended
1168	to read:
1169	121.136  Annual benefit statement to members.--Beginning
1170	January 1, 1993, and Each January thereafter, the department
1171	shall provide each active member of the Florida Retirement
1172	System with 5 or more years of creditable service an annual
1173	statement of benefits which provides. Such statement should
1174	provide the member with basic data about the member's retirement
1175	account. At a minimum Minimally, it must shall include the
1176	member's retirement plan, accrued service credit the amount of
1177	funds on deposit in the retirement account, and an estimate of
1178	retirement benefits.
1179	Section 10.  Paragraph (a) of subsection (2) of section
1180	121.23, Florida Statutes, is amended to read:
1181	121.23  Disability retirement and special risk membership
1182	applications; Retirement Commission; powers and duties; judicial
1183	review.--The provisions of this section apply to all proceedings
1184	in which the administrator has made a written final decision on
1185	the merits respecting applications for disability retirement,
1186	reexamination of retired members receiving disability benefits,
1187	applications for special risk membership, and reexamination of
1188	special risk members in the Florida Retirement System. The
1189	jurisdiction of the State Retirement Commission under this
1190	section shall be limited to written final decisions of the
1191	administrator on the merits.
1192	(2)  A member shall be entitled to a hearing before the
1193	State Retirement Commission pursuant to ss. 120.569 and
1194	120.57(1) on the merits of any written adverse decision of the
1195	administrator, if he or she files with the commission a written
1196	request for such hearing within 21 days after receipt of such
1197	written decision from the administrator. For the purpose of such
1198	hearings, the commission shall be an "agency head" as defined by
1199	s. 120.52.
1200	(a)  The commission may shall have the authority to issue
1201	orders as a result of the a hearing that are shall be binding on
1202	all parties to the dispute and. The commission may order any
1203	action that it deems appropriate. Any disability retirement
1204	order of the commission issued pursuant to this subsection which
1205	sustains the application of the member may include an amount, to
1206	be determined by the commission, for reasonable attorney's fees
1207	and taxable costs, which shall be calculated in accordance with
1208	the statewide uniform guidelines for taxation of costs in civil
1209	actions. The amount of the attorney's fee may not exceed 50
1210	percent of the initial yearly benefit awarded under s.
1211	121.091(4). In cases involving disability retirement, the State
1212	Retirement commission shall require the member to present
1213	substantial competent medical evidence that meets the
1214	requirements of s. 121.091(4)(c)2. and 3., and may require
1215	vocational evidence before awarding disability retirement
1216	benefits.
1217	Section 11.  Paragraph (a) of subsection (1) of section
1218	121.24, Florida Statutes, is amended to read:
1219	121.24  Conduct of commission business; legal and other
1220	assistance; compensation.--
1221	(1)  The commission shall conduct its business within the
1222	following guidelines:
1223	(a)  For purposes of hearing appeals under s. 121.23, the
1224	commission may meet in panels consisting of no not fewer than
1225	three members. For the purpose of meeting in these panels, a
1226	quorum shall be not fewer than two members. For all other
1227	purposes, A quorum shall consist of three members. The
1228	concurring vote of a majority of the members present is shall be
1229	required to reach a decision, issue orders, and conduct the
1230	business of the commission.
1231	Section 12.  Subsection (8) of section 1012.33, Florida
1232	Statutes, is amended to read:
1233	1012.33  Contracts with instructional staff, supervisors,
1234	and school principals.--
1235	(8)  Notwithstanding any other provision of law, a retired
1236	any member who has retired may interrupt retirement and be
1237	reemployed in any public school. A Any member so reemployed by
1238	the same district from which he or she retired may be employed
1239	on a probationary contractual basis as provided in subsection
1240	(1); however, no regular retirement employee shall be eligible
1241	to renew membership under a retirement system created by chapter
1242	121 or chapter 238.
1243	Section 13.  Sections 121.093, 121.094, and 121.45, Florida
1244	Statutes, are repealed.
1245	Section 14.  This act shall take effect July 1, 2008.

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