CS/HB 7241

1	A bill to be entitled
2	An act relating to public retirement plans; amending s.
3	175.032, F.S.; revising the definition of the term
4	"compensation" or "salary" for purposes of firefighters'
5	pensions; amending s. 175.061, F.S.; authorizing a
6	municipality to change the municipal representation of the
7	board of trustees pursuant to certain requirements;
8	providing duties of the board of trustees relating to the
9	reporting of expenses and the operation under an
10	administrative expense budget; amending s. 175.071, F.S.;
11	revising requirements of the board relating to the
12	employment of legal counsel, actuaries, and other
13	advisers; amending s. 175.091, F.S.; removing an
14	adjustment requirement for member contribution rates to a
15	retirement plan for firefighters; amending s. 175.351,
16	F.S.; revising provisions relating to benefits paid from
17	the premium tax by a municipality or special fire control
18	district that has its own pension plan; providing
19	definitions; providing a process for determining the
20	allocation of the premium tax revenues to a supplemental
21	plan; requiring plan sponsors to establish a defined
22	contribution supplemental plan; amending s. 185.02, F.S.;
23	revising the definition of the term "compensation" or
24	"salary" for purposes of police officers' pensions;
25	amending s. 185.05, F.S.; authorizing a municipality to
26	change the municipal representation of the board of
27	trustees pursuant to certain requirements; providing
28	duties of the board of trustees relating to the reporting
29	of expenses and the operation under an administrative
30	expense budget; amending s. 185.06, F.S.; revising
31	requirements of the board relating to the employment of
32	legal counsel, actuaries, and other advisers; amending s.
33	185.07, F.S.; removing an adjustment requirement for
34	member contribution rates to a retirement plan for police
35	officers; amending s. 185.35, F.S.; revising provisions
36	relating to benefits paid by a municipality that has its
37	own pension plan; providing definitions; providing a
38	process for determining the allocation of the premium tax
39	revenues to a supplemental plan; requiring plan sponsors
40	to establish a defined contribution supplemental plan;
41	creating the Task Force on Public Employee Disability
42	Presumptions; providing for appointment and membership;
43	specifying the issues for the task force to address;
44	providing for a report to be submitted to the Governor,
45	Chief Financial Officer, and Legislature by a certain
46	date; providing for future expiration; providing a
47	declaration of important state interest; providing an
48	effective date.
49
50	Be It Enacted by the Legislature of the State of Florida:
51
52	Section 1.  Subsection (3) of section 175.032, Florida
53	Statutes, is amended to read:
54	175.032  Definitions.-For any municipality, special fire
55	control district, chapter plan, local law municipality, local
56	law special fire control district, or local law plan under this
57	chapter, the following words and phrases have the following
58	meanings:
59	(3)  "Compensation" or "salary" means, for noncollectively
60	bargained service earned before July 1, 2011, or for service
61	earned under collective bargaining agreements in place before
62	July 1, 2011, the fixed monthly remuneration paid a firefighter.
63	If ; where, as in the case of a volunteer firefighter,
64	remuneration is based on actual services rendered, as in the
65	case of a volunteer firefighter, the term means the total cash
66	remuneration received yearly for such services, prorated on a
67	monthly basis. For noncollectively bargained service earned on
68	or after July 1, 2011, or for service earned under collective
69	bargaining agreements entered into on or after July 1, 2011, the
70	term has the same meaning except that overtime compensation and
71	payments for unused sick or annual leave may be included for
72	purposes of calculating retirement benefits as specified in the
73	plan or collective bargaining agreement.
74	(a)  A retirement trust fund or plan may use a definition
75	of salary other than the definition in this subsection but only
76	if the monthly retirement income payable to each firefighter
77	covered by the retirement trust fund or plan, as determined
78	under s. 175.162(2)(a) and using such other definition, equals
79	or exceeds the monthly retirement income that would be payable
80	to each firefighter if his or her monthly retirement income were
81	determined under s. 175.162(2)(a) and using the definition in
82	this subsection.
83	(a)(b)  Any retirement trust fund or plan that which now or
84	hereafter meets the requirements of this chapter does shall not,
85	solely by virtue of this subsection, reduce or diminish the
86	monthly retirement income otherwise payable to each firefighter
87	covered by the retirement trust fund or plan.
88	(b)(c)  The member's compensation or salary contributed as
89	employee-elective salary reductions or deferrals to any salary
90	reduction, deferred compensation, or tax-sheltered annuity
91	program authorized under the Internal Revenue Code shall be
92	deemed to be the compensation or salary the member would receive
93	if he or she were not participating in such program and shall be
94	treated as compensation for retirement purposes under this
95	chapter.
96	(c)(d)  For any person who first becomes a member in any
97	plan year beginning on or after January 1, 1996, compensation
98	for that any plan year may shall not include any amounts in
99	excess of the Internal Revenue Code s. 401(a)(17) limitation,
100	(as amended by the Omnibus Budget Reconciliation Act of 1993),
101	which limitation of $150,000 shall be adjusted as required by
102	federal law for qualified government plans and shall be further
103	adjusted for changes in the cost of living in the manner
104	provided by Internal Revenue Code s. 401(a)(17)(B). For any
105	person who first became a member before prior to the first plan
106	year beginning on or after January 1, 1996, the limitation on
107	compensation may shall be not be less than the maximum
108	compensation amount that was allowed to be taken into account
109	under the plan as in effect on July 1, 1993, which limitation
110	shall be adjusted for changes in the cost of living since 1989
111	in the manner provided by Internal Revenue Code s.
112	401(a)(17)(1991).
113	Section 2.  Paragraph (b) of subsection (1) of section
114	175.061, Florida Statutes, is amended, subsections (4), (5),
115	(6), and (7) of that section are renumbered as subsections (5),
116	(6), (7), and (8), respectively, and a new subsection (4) is
117	added to that section, to read:
118	175.061  Board of trustees; members; terms of office;
119	meetings; legal entity; costs; attorney's fees.-For any
120	municipality, special fire control district, chapter plan, local
121	law municipality, local law special fire control district, or
122	local law plan under this chapter:
123	(1)  In each municipality and in each special fire control
124	district there is hereby created a board of trustees of the
125	firefighters' pension trust fund, which shall be solely
126	responsible for administering the trust fund. Effective October
127	1, 1986, and thereafter:
128	(b)  The membership of boards of trustees for local law
129	plans is shall be as follows:
130	1.  If a municipality or special fire control district has
131	a pension plan for firefighters only, the provisions of
132	paragraph (a) shall apply.
133	2.  If a municipality has a pension plan for firefighters
134	and police officers, the provisions of paragraph (a) shall
135	apply, except that one member of the board must shall be a
136	firefighter as defined in s. 175.032 and one member of the board
137	must shall be a police officer as defined in s. 185.02,
138	respectively elected by a majority of the active firefighters or
139	police officers who are members of the plan.
140	3.  A Any board of trustees operating a local law plan on
141	July 1, 1999, which is combined with a plan for general
142	employees shall hold an election of the firefighters, or
143	firefighters and police officers, if included, to determine
144	whether a plan is to be established for firefighters only, or
145	for firefighters and police officers where included. Based on
146	the election results, a new board shall be established as
147	provided in subparagraph 1. or subparagraph 2., as appropriate.
148	The municipality or fire control district shall enact an
149	ordinance or resolution to implement the new board by October 1,
150	1999. The newly established board shall take whatever action is
151	necessary to determine the amount of assets which is
152	attributable to firefighters, or firefighters and police
153	officers where included. Such assets shall include all employer,
154	employee, and state contributions made by or on behalf of
155	firefighters, or firefighters and police officers where
156	included, and any investment income derived from such
157	contributions. All such moneys shall be transferred into the
158	newly established retirement plan, as directed by the board.
159
160	With respect to a any board of trustees operating a local law
161	plan on June 30, 1986, nothing in this paragraph does not shall
162	permit the reduction of the membership percentage of
163	firefighters, or of firefighters and police officers where a
164	joint or mixed fund exists. However, for the purpose of changing
165	municipal representation only, a municipality may change the
166	municipal representation on the board of trustees operating a
167	local law plan by ordinance, only if such change does not reduce
168	the membership percentage of firefighters, or firefighters and
169	police officers, or the membership percentage of the municipal
170	representation.
171	(4)  The board of trustees shall:
172	(a)  Provide a detailed accounting report of its expenses
173	for each fiscal year to the plan sponsor and the Department of
174	Management Services and make the report available to every
175	member of the plan. The report must include, but need not be
176	limited to, all administrative expenses which, for purposes of
177	this subsection, are all expenses relating to any legal counsel,
178	actuary, plan administrator, and all other consultants, and all
179	travel and other expenses paid to or on behalf of the members of
180	the board of trustees or anyone else on behalf of the plan.
181	(b)  Operate under an administrative expense budget for
182	each fiscal year, provide a copy of the budget to the plan
183	sponsor, and make available a copy of the budget to plan
184	members, before the beginning of the fiscal year. The
185	administrative expense budget must regulate the administrative
186	expenses of the board of trustees. If the board of trustees
187	amends the administrative expense budget, the board must provide
188	a copy of the amended budget to the plan sponsor and make
189	available a copy of the amended budget to plan members before
190	the amendment taking effect.
191	Section 3.  Subsection (7) of section 175.071, Florida
192	Statutes, is amended to read:
193	175.071  General powers and duties of board of trustees.-
194	For any municipality, special fire control district, chapter
195	plan, local law municipality, local law special fire control
196	district, or local law plan under this chapter:
197	(7)  To assist the board in meeting its responsibilities
198	under this chapter, the board, if it so elects, and subject to
199	s. 175.061(4), may:
200	(a)  Employ independent legal counsel at the pension fund's
201	expense.
202	(b)  Employ an independent actuary, as defined in s.
203	175.032(7), at the pension fund's expense.
204	(c)  Employ such independent professional, technical, or
205	other advisers as it deems necessary at the pension fund's
206	expense.
207
208	If the board chooses to use the municipality's or special
209	district's legal counsel or actuary, or chooses to use any of
210	the municipality's or special district's other professional,
211	technical, or other advisers, it must do so only under terms and
212	conditions acceptable to the board.
213	Section 4.  Paragraph (b) of subsection (2) of section
214	175.091, Florida Statutes, is amended to read:
215	175.091  Creation and maintenance of fund.-For any
216	municipality, special fire control district, chapter plan, local
217	law municipality, local law special fire control district, or
218	local law plan under this chapter:
219	(2)  Member contribution rates may be adjusted as follows:
220	(b)  Firefighter member contributions may be increased by
221	consent of the members' collective bargaining representative or,
222	if none, by majority consent of firefighter members of the fund
223	to provide greater benefits.
224
225	Nothing in this section shall be construed to require adjustment
226	of member contribution rates in effect on the date this act
227	becomes a law, including rates that exceed 5 percent of salary,
228	provided that such rates are at least one-half of 1 percent of
229	salary.
230	Section 5.  Section 175.351, Florida Statutes, is amended
231	to read:
232	175.351  Municipalities and special fire control districts
233	having their own pension plans for firefighters.-For any
234	municipality, special fire control district, local law
235	municipality, local law special fire control district, or local
236	law plan under this chapter, in order for municipalities and
237	special fire control districts with their own pension plans for
238	firefighters, or for firefighters and police officers, where
239	included, to participate in the distribution of the tax fund
240	established pursuant to s. 175.101, local law plans must meet
241	the minimum benefits and minimum standards set forth in this
242	chapter.
243	(1)  Notwithstanding any other provision, retirement
244	benefits provided pursuant to this chapter and the use of the
245	income from the premium tax in s. 175.101 must be determined and
246	implemented in accordance with the collective bargaining
247	process, and where collective bargaining is not applicable, in
248	accordance with the pension plan, except as provided in
249	subsection (2). PREMIUM TAX INCOME.-If a municipality has a
250	pension plan for firefighters, or a pension plan for
251	firefighters and police officers, where included, which in the
252	opinion of the division meets the minimum benefits and minimum
253	standards set forth in this chapter, the board of trustees of
254	the pension plan, as approved by a majority of firefighters of
255	the municipality, may:
256	(a)  Place the income from the premium tax in s. 175.101 in
257	such pension plan for the sole and exclusive use of its
258	firefighters, or for firefighters and police officers, where
259	included, where it shall become an integral part of that pension
260	plan and shall be used to pay extra benefits to the firefighters
261	included in that pension plan; or
262	(b)  Place the income from the premium tax in s. 175.101 in
263	a separate supplemental plan to pay extra benefits to
264	firefighters, or to firefighters and police officers where
265	included, participating in such separate supplemental plan.
266
267	The premium tax provided by this chapter shall in all cases be
268	used in its entirety to provide extra benefits to firefighters,
269	or to firefighters and police officers, where included.
270	(2)  For However, local law plans in effect on October 1,
271	1998, that do not shall be required to comply with the minimum
272	benefit provisions of this chapter, as only to the extent that
273	additional premium tax revenues become available, such revenues
274	shall be used to incrementally fund the cost of such compliance
275	as provided in s. 175.162(2)(a). "Additional premium tax
276	revenues" means revenues received by a municipality or special
277	fire control district pursuant to s. 175.121 that exceed that
278	amount received for the calendar year of 1997. Once a plan is in
279	compliance with the minimum benefit provisions of this chapter,
280	the provisions of subsection (1) apply. When a plan is in
281	compliance with such minimum benefit provisions, as subsequent
282	additional premium tax revenues become available, they shall be
283	used to provide extra benefits. For the purpose of this chapter,
284	"additional premium tax revenues" means revenues received by a
285	municipality or special fire control district pursuant to s.
286	175.121 which exceed that amount received for calendar year
287	1997, and the term "extra benefits" means benefits in addition
288	to or greater than those provided to general employees of the
289	municipality and in addition to those in existence for
290	firefighters on March 12, 1999.
291	(3)  Local law plans created by special act before May 27
292	23, 1939, shall be deemed to comply with this chapter.
293	(4)(2)  A ADOPTION OR REVISION OF A LOCAL LAW PLAN.-No
294	retirement plan or amendment to a retirement plan may not shall
295	be proposed for adoption unless the proposed plan or amendment
296	contains an actuarial estimate of the costs involved. The No
297	such proposed plan or proposed plan change may not shall be
298	adopted without the approval of the municipality, special fire
299	control district, or, where permitted, the Legislature. Copies
300	of the proposed plan or proposed plan change and the actuarial
301	impact statement of the proposed plan or proposed plan change
302	shall be furnished to the division before prior to the last
303	public hearing thereon. Such statement must shall also indicate
304	whether the proposed plan or proposed plan change is in
305	compliance with s. 14, Art. X of the State Constitution and
306	those provisions of part VII of chapter 112 which are not
307	expressly provided in this chapter. Notwithstanding any other
308	provision, only those local law plans created by special act of
309	legislation before prior to May 27 23, 1939, are shall be deemed
310	to meet the minimum benefits and minimum standards only in this
311	chapter.
312	(5)(3)  Notwithstanding any other provision, with respect
313	to any supplemental plan municipality:
314	(a)  Section 175.032(3)(a) does shall not apply, and a
315	local law plan and a supplemental plan may continue to use their
316	definition of compensation or salary in existence on March 12,
317	1999 the effective date of this act.
318	(b)  Section 175.061(1)(b) does shall not apply, and a
319	local law plan and a supplemental plan shall continue to be
320	administered by a board or boards of trustees numbered,
321	constituted, and selected as the board or boards were numbered,
322	constituted, and selected on December 1, 2000.
323	(c)  The election set forth in paragraph (1)(b) is shall be
324	deemed to have been made.
325	(d)  The annual amount of premium tax revenues allocated to
326	the supplemental plan shall be determined through collective
327	bargaining, where applicable, and by the plan sponsor where
328	collective bargaining does not apply, provided the annual amount
329	of premium tax revenues allocated to the supplemental plan is
330	not less than the amount received for the 1997 calendar year
331	plus 50 percent of the additional premium tax revenues.
332	(e)  Each plan sponsor must establish a defined
333	contribution supplemental plan by October 1, 2011. However, the
334	plan sponsor of any plan established by special act of the
335	Legislature has until July 1, 2012, to create a defined
336	contribution supplemental plan. The defined contribution
337	supplemental plan shall be funded as provided in paragraph (d),
338	subject to the provisions of any collective bargaining agreement
339	in effect on July 1, 2011.
340	(6)(4)  The retirement plan setting forth the benefits and
341	the trust agreement, if any, covering the duties and
342	responsibilities of the trustees and the regulations of the
343	investment of funds must be in writing, and copies thereof must
344	be made available to the participants and to the general public.
345	Section 6.  Subsection (4) of section 185.02, Florida
346	Statutes, is amended to read:
347	185.02  Definitions.-For any municipality, chapter plan,
348	local law municipality, or local law plan under this chapter,
349	the following words and phrases as used in this chapter shall
350	have the following meanings, unless a different meaning is
351	plainly required by the context:
352	(4)  "Compensation" or "salary" means, for noncollectively
353	bargained service earned before July 1, 2011, or for service
354	earned under collective bargaining agreements in place before
355	July 1, 2011, the total cash remuneration including "overtime"
356	paid by the primary employer to a police officer for services
357	rendered, but not including any payments for extra duty or a
358	special detail work performed on behalf of a second party
359	employer. However, A local law plan may limit the amount of
360	overtime payments which can be used for retirement benefit
361	calculation purposes; however, but in no event shall such
362	overtime limit may not be less than 300 hours per officer per
363	calendar year. For noncollectively bargained service earned on
364	or after July 1, 2011, or for service earned under collective
365	bargaining agreements entered into on or after July 1, 2011, the
366	term has the same meaning except that overtime compensation and
367	payments for unused sick or annual leave may be included for
368	purposes of calculating retirement benefits as specified in the
369	plan or collective bargaining agreement.
370	(a)  Any retirement trust fund or plan that which now or
371	hereafter meets the requirements of this chapter does shall not,
372	solely by virtue of this subsection, reduce or diminish the
373	monthly retirement income otherwise payable to each police
374	officer covered by the retirement trust fund or plan.
375	(b)  The member's compensation or salary contributed as
376	employee-elective salary reductions or deferrals to any salary
377	reduction, deferred compensation, or tax-sheltered annuity
378	program authorized under the Internal Revenue Code shall be
379	deemed to be the compensation or salary the member would receive
380	if he or she were not participating in such program and shall be
381	treated as compensation for retirement purposes under this
382	chapter.
383	(c)  For any person who first becomes a member in any plan
384	year beginning on or after January 1, 1996, compensation for
385	that any plan year may shall not include any amounts in excess
386	of the Internal Revenue Code s. 401(a)(17) limitation, (as
387	amended by the Omnibus Budget Reconciliation Act of 1993), which
388	limitation of $150,000 shall be adjusted as required by federal
389	law for qualified government plans and shall be further adjusted
390	for changes in the cost of living in the manner provided by
391	Internal Revenue Code s. 401(a)(17)(B). For any person who first
392	became a member before prior to the first plan year beginning on
393	or after January 1, 1996, the limitation on compensation may
394	shall be not be less than the maximum compensation amount that
395	was allowed to be taken into account under the plan as in effect
396	on July 1, 1993, which limitation shall be adjusted for changes
397	in the cost of living since 1989 in the manner provided by
398	Internal Revenue Code s. 401(a)(17)(1991).
399	Section 7.  Paragraph (b) of subsection (1) of section
400	185.05, Florida Statutes, is amended, subsections (4), (5), (6),
401	and (7) of that section are renumbered as subsections (5), (6),
402	(7), and (8), respectively, and a new subsection (4) is added to
403	that section, to read:
404	185.05  Board of trustees; members; terms of office;
405	meetings; legal entity; costs; attorney's fees.-For any
406	municipality, chapter plan, local law municipality, or local law
407	plan under this chapter:
408	(1)  In each municipality described in s. 185.03 there is
409	hereby created a board of trustees of the municipal police
410	officers' retirement trust fund, which shall be solely
411	responsible for administering the trust fund. Effective October
412	1, 1986, and thereafter:
413	(b)  The membership of boards of trustees for local law
414	plans is shall be as follows:
415	1.  If a municipality has a pension plan for police
416	officers only, the provisions of paragraph (a) shall apply.
417	2.  If a municipality has a pension plan for police
418	officers and firefighters, the provisions of paragraph (a) shall
419	apply, except that one member of the board must shall be a
420	police officer as defined in s. 185.02 and one member must shall
421	be a firefighter as defined in s. 175.032, respectively, elected
422	by a majority of the active firefighters and police officers who
423	are members of the plan.
424	3.  A Any board of trustees operating a local law plan on
425	July 1, 1999, which is combined with a plan for general
426	employees shall hold an election of the police officers, or
427	police officers and firefighters if included, to determine
428	whether a plan is to be established for police officers only, or
429	for police officers and firefighters where included. Based on
430	the election results, a new board shall be established as
431	provided in subparagraph 1. or subparagraph 2., as appropriate.
432	The municipality shall enact an ordinance to implement the new
433	board by October 1, 1999. The newly established board shall take
434	whatever action is necessary to determine the amount of assets
435	which is attributable to police officers, or police officers and
436	firefighters where included. Such assets shall include all
437	employer, employee, and state contributions made by or on behalf
438	of police officers, or police officers and firefighters where
439	included, and any investment income derived from such
440	contributions. All such moneys shall be transferred into the
441	newly established retirement plan, as directed by the board.
442
443	With respect to a any board of trustees operating a local law
444	plan on June 30, 1986, nothing in this paragraph does not shall
445	permit the reduction of the membership percentage of police
446	officers or police officers and firefighters. However, for the
447	purpose of changing municipal representation only, a
448	municipality may change the municipal representation on the
449	board of trustees operating a local law plan by ordinance, only
450	if such change does not reduce the membership percentage of
451	police officers, or police officers and firefighters, or the
452	membership percentage of the municipal representation.
453	(4)  The board of trustees shall:
454	(a)  Provide a detailed accounting report of its expenses
455	for each fiscal year to the plan sponsor and the Department of
456	Management Services and make the report available to every
457	member of the plan. The report must include, but need not be
458	limited to, all administrative expenses which, for purposes of
459	this subsection, are all expenses relating to any legal counsel,
460	actuary, plan administrator, and all other consultants, and all
461	travel and other expenses paid to or on behalf of the members of
462	the board of trustees or anyone else on behalf of the plan.
463	(b)  Operate under an administrative expense budget for
464	each fiscal year, provide a copy of the budget to the plan
465	sponsor, and make available a copy of the budget to plan
466	members, before the beginning of the fiscal year. The
467	administrative expense budget must regulate the administrative
468	expenses of the board of trustees. If the board of trustees
469	amends the administrative expense budget, the board must provide
470	a copy of the amended budget to the plan sponsor and make
471	available a copy of the amended budget to plan members before
472	the amendment takes effect.
473	Section 8.  Subsection (6) of section 185.06, Florida
474	Statutes, is amended to read:
475	185.06  General powers and duties of board of trustees.-For
476	any municipality, chapter plan, local law municipality, or local
477	law plan under this chapter:
478	(6)  To assist the board in meeting its responsibilities
479	under this chapter, the board, if it so elects, and subject to
480	s. 185.05(4), may:
481	(a)  Employ independent legal counsel at the pension fund's
482	expense.
483	(b)  Employ an independent actuary, as defined in s.
484	185.02(8), at the pension fund's expense.
485	(c)  Employ such independent professional, technical, or
486	other advisers as it deems necessary at the pension fund's
487	expense.
488
489	If the board chooses to use the municipality's or special
490	district's legal counsel or actuary, or chooses to use any of
491	the municipality's other professional, technical, or other
492	advisers, it must do so only under terms and conditions
493	acceptable to the board.
494	Section 9.  Paragraph (b) of subsection (2) of section
495	185.07, Florida Statutes, is amended to read:
496	185.07  Creation and maintenance of fund.-For any
497	municipality, chapter plan, local law municipality, or local law
498	plan under this chapter:
499	(2)  Member contribution rates may be adjusted as follows:
500	(b)  Police officer member contributions may be increased
501	by consent of the members' collective bargaining representative
502	or, if none, by majority consent of police officer members of
503	the fund to provide greater benefits.
504
505	Nothing in this section shall be construed to require adjustment
506	of member contribution rates in effect on the date this act
507	becomes a law, including rates that exceed 5 percent of salary,
508	provided that such rates are at least one-half of 1 percent of
509	salary.
510	Section 10.  Section 185.35, Florida Statutes, is amended
511	to read:
512	185.35  Municipalities having their own pension plans for
513	police officers.-For any municipality, chapter plan, local law
514	municipality, or local law plan under this chapter, in order for
515	municipalities with their own pension plans for police officers,
516	or for police officers and firefighters where included, to
517	participate in the distribution of the tax fund established
518	pursuant to s. 185.08, local law plans must meet the minimum
519	benefits and minimum standards set forth in this chapter.:
520	(1)  Notwithstanding any other provision, retirement
521	benefits provided pursuant to this chapter and the use of the
522	income from the premium tax in s. 185.08 must be determined and
523	implemented in accordance with the collective bargaining
524	process, and where collective bargaining is not applicable, in
525	accordance with the pension plan, except as provided in
526	subsection (2). PREMIUM TAX INCOME.-If a municipality has a
527	pension plan for police officers, or for police officers and
528	firefighters where included, which, in the opinion of the
529	division, meets the minimum benefits and minimum standards set
530	forth in this chapter, the board of trustees of the pension
531	plan, as approved by a majority of police officers of the
532	municipality, may:
533	(a)  Place the income from the premium tax in s. 185.08 in
534	such pension plan for the sole and exclusive use of its police
535	officers, or its police officers and firefighters where
536	included, where it shall become an integral part of that pension
537	plan and shall be used to pay extra benefits to the police
538	officers included in that pension plan; or
539	(b)  May place the income from the premium tax in s. 185.08
540	in a separate supplemental plan to pay extra benefits to the
541	police officers, or police officers and firefighters where
542	included, participating in such separate supplemental plan.
543
544	The premium tax provided by this chapter shall in all cases be
545	used in its entirety to provide extra benefits to police
546	officers, or to police officers and firefighters, where
547	included.
548	(2)  For However, local law plans in effect on October 1,
549	1998, that do not shall be required to comply with the minimum
550	benefit provisions of this chapter, as only to the extent that
551	additional premium tax revenues become available, such revenues
552	shall be used to incrementally fund the cost of such compliance
553	as provided in s. 185.16(2). "Additional premium tax revenues"
554	means revenues received by a municipality pursuant to s. 185.10
555	that exceed that amount received for the calendar year of 1997.
556	Once a plan is in compliance with the minimum benefit provisions
557	of this chapter, the provisions of subsection (1) apply. When a
558	plan is in compliance with such minimum benefit provisions, as
559	subsequent additional tax revenues become available, they shall
560	be used to provide extra benefits. For the purpose of this
561	chapter, "additional premium tax revenues" means revenues
562	received by a municipality pursuant to s. 185.10 which exceed
563	the amount received for calendar year 1997, and the term "extra
564	benefits" means benefits in addition to or greater than those
565	provided to general employees of the municipality and in
566	addition to those in existence for police officers on March 12,
567	1999.
568	(3)  Local law plans created by special act before May 27
569	23, 1939, shall be deemed to comply with this chapter.
570	(4)(2)  A ADOPTION OR REVISION OF A LOCAL LAW PLAN.-No
571	retirement plan or amendment to a retirement plan may not shall
572	be proposed for adoption unless the proposed plan or amendment
573	contains an actuarial estimate of the costs involved. The No
574	such proposed plan or proposed plan change may not shall be
575	adopted without the approval of the municipality or, where
576	permitted, the Legislature. Copies of the proposed plan or
577	proposed plan change and the actuarial impact statement of the
578	proposed plan or proposed plan change shall be furnished to the
579	division before prior to the last public hearing thereon. Such
580	statement must shall also indicate whether the proposed plan or
581	proposed plan change is in compliance with s. 14, Art. X of the
582	State Constitution and those provisions of part VII of chapter
583	112 which are not expressly provided in this chapter.
584	Notwithstanding any other provision, only those local law plans
585	created by special act of legislation before prior to May 27 23,
586	1939, are shall be deemed to meet the minimum benefits and
587	minimum standards only in this chapter.
588	(5)(3)  Notwithstanding any other provision, with respect
589	to any supplemental plan municipality:
590	(a)  Section 185.02(4)(a) does shall not apply, and a local
591	law plan and a supplemental plan may continue to use their
592	definition of compensation or salary in existence on March 12,
593	1999 the effective date of this act.
594	(b)  Section 185.05(1)(b) does shall not apply, and a local
595	law plan and a supplemental plan shall continue to be
596	administered by a board or boards of trustees numbered,
597	constituted, and selected as the board or boards were numbered,
598	constituted, and selected on December 1, 2000.
599	(c)  The election set forth in paragraph (1)(b) is shall be
600	deemed to have been made.
601	(d)  The annual amount of premium tax revenues allocated to
602	the supplemental plan shall be determined through collective
603	bargaining, where applicable, and by the plan sponsor where
604	collective bargaining does not apply, provided the annual amount
605	of premium tax revenues allocated to the supplemental plan is
606	not less than the amount received for the 1997 calendar year
607	plus 50 percent of the additional premium tax revenues.
608	(e)  Each plan sponsor must establish a defined
609	contribution supplemental plan by October 1, 2011. However, the
610	plan sponsor of any plan established by special act of the
611	Legislature has until July 1, 2012, to create a defined
612	contribution supplemental plan. The defined contribution
613	supplemental plan shall be funded as provided in paragraph (d),
614	subject to the provisions of any collective bargaining agreement
615	in effect on July 1, 2011.
616	(6)(4)  The retirement plan setting forth the benefits and
617	the trust agreement, if any, covering the duties and
618	responsibilities of the trustees and the regulations of the
619	investment of funds must be in writing and copies made available
620	to the participants and to the general public.
621	Section 11.  Task Force on Public Employee Disability
622	Presumptions.-
623	(1)  The Task Force on Public Employee Disability
624	Presumptions is created for the purpose of developing findings
625	and issuing recommendations on the disability presumptions in
626	ss. 112.18, 175.231, and 185.34, Florida Statutes.
627	(2)  All members of the task force shall be appointed on or
628	before July 15, 2011, and the task force shall hold its first
629	meeting on or before August 15, 2011. The task force shall be
630	composed of eight members as follows:
631	(a)  Three members appointed by the President of the
632	Senate, one of whom must be an attorney who primarily represents
633	plaintiffs and who has experience in the relevant laws, one of
634	whom must be a representative of organized labor and a member of
635	a pension plan under chapter 175, Florida Statutes, and one of
636	whom must be from the Florida Association of Counties.
637	(b)  Three members appointed by the Speaker of the House of
638	Representatives, one of whom must be an attorney who primarily
639	represents defendants and who has experience in the relevant
640	laws, one of whom must be a representative of organized labor
641	and a member of a pension plan under chapter 185, Florida
642	Statutes, and one of whom must be from the Florida League of
643	Cities.
644	(c)  A member employed by the Division of Retirement of the
645	Department of Management Services who has experience in local
646	government pension plans, appointed by the Governor.
647	(d)  A member employed by the Department of Financial
648	Services who has relevant expertise in state risk management,
649	appointed by the Chief Financial Officer.
650	(3)  The task force shall address issues, including, but
651	not limited to:
652	(a)  Data related to the operation of the statutory
653	disability presumptions, and the fiscal impact on public
654	employers in the areas of pensions and workers' compensation.
655	(b)  The manner in which other states handle disability
656	presumptions, and the fiscal impact on those public employers.
657	(c)  Proposals for changes to the existing disability
658	presumptions.
659	(d)  Evidentiary standards and burdens of proof necessary
660	to overcome statutory disability presumptions, and whether
661	consideration of risk factors and epidemiological data relating
662	to non-work-related conditions, such as blood cholesterol, body
663	mass index, history of tobacco and alcohol use, and other
664	medical conditions or behaviors unique to the individual
665	employee that are associated with the diseases or conditions
666	listed in disability presumptions, are appropriate to consider.
667	(4)  The Department of Financial Services shall provide
668	administrative support to the task force.
669	(5)  Members of the task force shall serve without
670	compensation, but are entitled to reimbursement for per diem and
671	travel expenses in accordance with s. 112.061, Florida Statutes.
672	(6)  The task force may obtain data, information, and
673	assistance from any officer or state agency and any political
674	subdivision thereof. All such officers, agencies, and political
675	subdivisions shall provide the task force with all relevant
676	information and assistance on any matter within their knowledge
677	or control.
678	(7)  The task force shall submit a report, including
679	findings and recommendations, to the Governor, the Chief
680	Financial Officer, the President of the Senate, and the Speaker
681	of the House of Representatives by January 1, 2012. The report
682	must include specific recommendations for legislative action
683	during the 2012 Regular Session of the Legislature.
684	(8)  The task force is dissolved upon submission of its
685	report.
686	Section 12.  The Legislature finds that a proper and
687	legitimate state purpose is served when employees and retirees
688	of the state and its political subdivisions, and the dependents,
689	survivors, and beneficiaries of such employees and retirees, are
690	extended the basic protections afforded by governmental
691	retirement systems that provide fair and adequate benefits and
692	that are managed, administered, and funded in an actuarially
693	sound manner as required by s. 14, Art. X of the State
694	Constitution and part VII of chapter 112, Florida Statutes.
695	Therefore, the Legislature determines and declares that this act
696	fulfill an important state interest.
697	Section 13.  This act shall take effect July 1, 2011.

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