Florida Senate - 2023 COMMITTEE AMENDMENT
Bill No. SB 7024
Ì751712}Î751712
LEGISLATIVE ACTION
Senate . House
Comm: RCS .
03/28/2023 .
.
.
.
—————————————————————————————————————————————————————————————————
—————————————————————————————————————————————————————————————————
The Committee on Appropriations (Avila) recommended the
following:
1 Senate Amendment (with title amendment)
2
3 Before line 10
4 insert:
5 Section 1. Paragraph (f) is added to subsection (3) of
6 section 112.363, Florida Statutes, and paragraph (j) is added to
7 subsection (8) of that section, to read:
8 112.363 Retiree health insurance subsidy.—
9 (3) RETIREE HEALTH INSURANCE SUBSIDY AMOUNT.—
10 (f)1. Beginning July 1, 2023, each eligible retiree of the
11 pension plan of the Florida Retirement System, or, if the
12 retiree is deceased, his or her beneficiary who is receiving a
13 monthly benefit from such retiree’s account and who is a spouse,
14 or a person who meets the definition of joint annuitant in s.
15 121.021, shall receive a monthly retiree health insurance
16 subsidy payment equal to the number of years of creditable
17 service, as defined in s. 121.021, completed at the time of
18 retirement multiplied by $7.50; however, an eligible retiree or
19 beneficiary may not receive a subsidy payment of more than $225
20 or less than $45. If there are multiple beneficiaries, the total
21 payment may not be greater than the payment to which the retiree
22 was entitled. The health insurance subsidy amount payable to any
23 person receiving the retiree health insurance subsidy payment on
24 July 1, 2023, may not be reduced solely by operation of this
25 subparagraph.
26 2. Beginning July 1, 2023, each eligible member of the
27 investment plan of the Florida Retirement System who has met the
28 requirements of this section, or, if the member is deceased, his
29 or her spouse who is the member’s designated beneficiary, shall
30 receive a monthly retiree health insurance subsidy payment equal
31 to the number of years of creditable service, as provided in
32 this subparagraph, completed at the time of retirement,
33 multiplied by $7.50; however, an eligible retiree or beneficiary
34 may not receive a subsidy payment of more than $225 or less than
35 $45. For purposes of determining a member’s creditable service
36 used to calculate the health insurance subsidy, a member’s years
37 of service credit or fraction thereof must be based on the
38 member’s work year as defined in s. 121.021(54). Credit must be
39 awarded for a full work year if health insurance subsidy
40 contributions have been made for each month in the member’s work
41 year. In addition, all years of creditable service retained
42 under the Florida Retirement System Pension Plan must be
43 included as creditable service for purposes of this section.
44 Notwithstanding this section, the spouse at the time of death is
45 the member’s beneficiary unless such member has designated a
46 different beneficiary subsequent to the member’s most recent
47 marriage.
48 (8) CONTRIBUTIONS.—For purposes of funding the insurance
49 subsidy provided by this section:
50 (j) Beginning July 1, 2023, the employer of each member of
51 a state-administered retirement plan shall contribute 2.00
52 percent of gross compensation each pay period.
53
54 Such contributions shall be submitted to the Department of
55 Management Services and deposited in the Retiree Health
56 Insurance Subsidy Trust Fund.
57 Section 2. Paragraph (d) of subsection (7) of section
58 121.052, Florida Statutes, is amended to read:
59 121.052 Membership class of elected officers.—
60 (7) CONTRIBUTIONS.—
61 (d) The following table states the required employer
62 contribution on behalf of each member of the Elected Officers’
63 Class in terms of a percentage of the member’s gross
64 compensation. Such contribution constitutes the entire health
65 insurance subsidy contribution with respect to each such member.
66 A change in the contribution rate is effective with the first
67 salary paid on or after the beginning date of the change. The
68 retiree health insurance subsidy contribution rate is as
69 follows:
70
71 Dates of Contribution Rate Changes ContributionRate
72
73 October 1, 1987, through December 31, 1988 0.24%
74 January 1, 1989, through December 31, 1993 0.48%
75 January 1, 1994, through December 31, 1994 0.56%
76 January 1, 1995, through June 30, 1998 0.66%
77 July 1, 1998, through June 30, 2001 0.94%
78 July 1, 2001, through June 30, 2013 1.11%
79 July 1, 2013, through June 30, 2014 1.20%
80 July 1, 2014, through June 30, 2015 1.26%
81
82 Effective July 1, 2015, through June 30, 2023 1.66%
83 Effective July 1, 2023 2.00%
84
85 Such contributions and accompanying payroll data are due and
86 payable no later than the 5th working day of the month
87 immediately following the month during which the payroll period
88 ended and shall be deposited by the administrator in the Retiree
89 Health Insurance Subsidy Trust Fund.
90 Section 3. Paragraph (d) of subsection (3) of section
91 121.055, Florida Statutes, is amended to read:
92 121.055 Senior Management Service Class.—There is hereby
93 established a separate class of membership within the Florida
94 Retirement System to be known as the “Senior Management Service
95 Class,” which shall become effective February 1, 1987.
96 (3)
97 (d) The following table states the required employer
98 contribution on behalf of each member of the Senior Management
99 Service Class in terms of a percentage of the member’s gross
100 compensation. Such contribution constitutes the entire health
101 insurance subsidy contribution with respect to each such member.
102 A change in the contribution rate is effective with the first
103 salary paid on or after the beginning date of the change. The
104 retiree health insurance subsidy contribution rate is as
105 follows:
106
107 Dates of Contribution Rate Changes ContributionRate
108
109 October 1, 1987, through December 31, 1988 0.24%
110 January 1, 1989, through December 31, 1993 0.48%
111 January 1, 1994, through December 31, 1994 0.56%
112 January 1, 1995, through June 30, 1998 0.66%
113 July 1, 1998, through June 30, 2001 0.94%
114 July 1, 2001, through June 30, 2013 1.11%
115 July 1, 2013, through June 30, 2014 1.20%
116 July 1, 2014, through June 30, 2015 1.26%
117
118 Effective July 1, 2015, through June 30, 2023 1.66%
119 Effective July 1, 2023 2.00%
120
121 Such contributions and accompanying payroll data are due and
122 payable no later than the 5th working day of the month
123 immediately following the month during which the payroll period
124 ended and shall be deposited by the administrator in the Retiree
125 Health Insurance Subsidy Trust Fund.
126 Section 4. Subsection (4) of section 121.071, Florida
127 Statutes, is amended to read:
128 121.071 Contributions.—Contributions to the system shall be
129 made as follows:
130 (4) The following table states the required employer
131 contribution on behalf of each member of the Regular Class,
132 Special Risk Class, or Special Risk Administrative Support Class
133 in terms of a percentage of the member’s gross compensation.
134 Such contribution constitutes the entire health insurance
135 subsidy contribution with respect to each such member. A change
136 in the contribution rate is effective with the first salary paid
137 on or after the beginning date of the change. The retiree health
138 insurance subsidy contribution rate is as follows:
139
140 Dates of Contribution Rate Changes ContributionRate
141
142 October 1, 1987, through December 31, 1988 0.24%
143 January 1, 1989, through December 31, 1993 0.48%
144 January 1, 1994, through December 31, 1994 0.56%
145 January 1, 1995, through June 30, 1998 0.66%
146 July 1, 1998, through June 30, 2001 0.94%
147 July 1, 2001, through June 30, 2013 1.11%
148 July 1, 2013, through June 30, 2014 1.20%
149 July 1, 2014, through June 30, 2015 1.26%
150
151 Effective July 1, 2015, through June 30, 2023 1.66%
152 Effective July 1, 2023 2.00%
153
154 Such contributions shall be deposited by the administrator in
155 the Retiree Health Insurance Subsidy Trust Fund.
156
157 ================= T I T L E A M E N D M E N T ================
158 And the title is amended as follows:
159 Delete line 2
160 and insert:
161 An act relating to retirement; amending s. 112.363,
162 F.S.; providing that eligible retirees of the Florida
163 Retirement System pension plan must receive a certain
164 monthly retiree health insurance subsidy payment,
165 beginning on a specified date; specifying how such
166 payment is to be calculated; providing construction;
167 providing that eligible members of the Florida
168 Retirement System investment plan must receive a
169 certain monthly retiree health insurance subsidy
170 payment; specifying how such payment is to be
171 calculated; specifying that the member’s spouse at the
172 time of the member’s death is the member’s
173 beneficiary; providing an exception; requiring the
174 employer of members of a state-administered retirement
175 plan to contribute a certain percentage of gross
176 compensation each pay period, beginning on a specified
177 date; amending ss. 121.052, 121.055, and 121.071,
178 F.S.; revising the employer contribution rates for the
179 retiree health insurance subsidy; amending s. 121.71,