Bill Text: FL S1482 | 2024 | Regular Session | Introduced


Bill Title: Deferred Retirement Option Program Eligibility for School Employees and Personnel

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2024-03-08 - Died in Governmental Oversight and Accountability [S1482 Detail]

Download: Florida-2024-S1482-Introduced.html
       Florida Senate - 2024                                    SB 1482
       
       
        
       By Senator Torres
       
       
       
       
       
       25-01500-24                                           20241482__
    1                        A bill to be entitled                      
    2         An act relating to Deferred Retirement Option Program
    3         eligibility for school employees and personnel;
    4         amending s. 121.091, F.S.; removing the time
    5         limitation for program eligibility for certain
    6         instructional personnel administrative personnel and
    7         educational support employees; providing a declaration
    8         of important state interest; providing an effective
    9         date.
   10          
   11  Be It Enacted by the Legislature of the State of Florida:
   12  
   13         Section 1. Paragraph (b) of subsection (13) of section
   14  121.091, Florida Statutes, is amended to read:
   15         121.091 Benefits payable under the system.—Benefits may not
   16  be paid under this section unless the member has terminated
   17  employment as provided in s. 121.021(39)(a) or begun
   18  participation in the Deferred Retirement Option Program as
   19  provided in subsection (13), and a proper application has been
   20  filed in the manner prescribed by the department. The department
   21  may cancel an application for retirement benefits when the
   22  member or beneficiary fails to timely provide the information
   23  and documents required by this chapter and the department’s
   24  rules. The department shall adopt rules establishing procedures
   25  for application for retirement benefits and for the cancellation
   26  of such application when the required information or documents
   27  are not received.
   28         (13) DEFERRED RETIREMENT OPTION PROGRAM.—In general, and
   29  subject to this section, the Deferred Retirement Option Program,
   30  hereinafter referred to as DROP, is a program under which an
   31  eligible member of the Florida Retirement System may elect to
   32  participate, deferring receipt of retirement benefits while
   33  continuing employment with his or her Florida Retirement System
   34  employer. The deferred monthly benefits shall accrue in the
   35  Florida Retirement System on behalf of the member, plus interest
   36  compounded monthly, for the specified period of the DROP
   37  participation, as provided in paragraph (c). Upon termination of
   38  employment, the member shall receive the total DROP benefits and
   39  begin to receive the previously determined normal retirement
   40  benefits. Participation in the DROP does not guarantee
   41  employment for the specified period of DROP.
   42         (b) Participation in DROP.—Except as provided in this
   43  paragraph, an eligible member may elect to participate in DROP
   44  for a period not to exceed a maximum of 96 calendar months.
   45         1.a. Members who are instructional personnel employed by
   46  the Florida School for the Deaf and the Blind and authorized by
   47  the Board of Trustees of the Florida School for the Deaf and the
   48  Blind;, who are instructional personnel, administrative
   49  personnel, or educational support employees as defined in s.
   50  1012.01(2), (3), or (6), respectively, s. 1012.01(2)(a)-(d) in
   51  grades K-12 and authorized by the district school
   52  superintendent;, or who are instructional personnel as defined
   53  in s. 1012.01(2)(a) employed by a developmental research school
   54  and authorized by the school’s director, or if the school has no
   55  director, by the school’s principal, may:
   56         (I) extend DROP participation beyond the initial 96
   57  calendar-month period if the instructional personnel’s
   58  termination date is before the end of the school year. Such
   59  instructional personnel may have DROP participation extended
   60  until the last day of the last calendar month of the school year
   61  in which their original DROP termination date occurred if a date
   62  other than the last day of the last calendar month of the school
   63  year is designated.
   64         (II)Participate in DROP for up to 24 calendar months
   65  beyond the 96-month period. Instructional personnel who are
   66  authorized to extend DROP participation beyond the 96-month
   67  period must have a termination date that is the last day of the
   68  last calendar month of the school year within the DROP extension
   69  granted by the employer. If the member’s DROP participation has
   70  already been extended for the maximum 24 calendar months and the
   71  extension period concludes before the end of the school year,
   72  the member’s DROP participation may be extended through the last
   73  day of the last calendar month of that school year. This sub
   74  sub-subparagraph expires June 30, 2029.
   75  
   76  The employer shall notify the division of the change in
   77  termination date and the additional period of DROP participation
   78  for the affected instructional personnel.
   79         b.Administrative personnel in grades K-12, as defined in
   80  s. 1012.01(3), may be authorized to extend DROP participation
   81  beyond the initial 96 calendar month period if the
   82  administrative personnel’s termination date is before the end of
   83  the school year. Such administrative personnel may have DROP
   84  participation extended until the last day of the last calendar
   85  month of the school year in which their original DROP
   86  termination date occurred if a date other than the last day of
   87  the last calendar month of the school year is designated. The
   88  employer shall notify the division of the change in termination
   89  date and the additional period of DROP participation for the
   90  affected administrative personnel.
   91         2. Upon deciding to participate in DROP, the member shall
   92  submit, on forms required by the division:
   93         a. A written election to participate in DROP;
   94         b. Selection of DROP participation and termination dates
   95  that satisfy the limitations stated in paragraph (a) and this
   96  paragraph. The termination date must be in a binding letter of
   97  resignation to the employer establishing a deferred termination
   98  date. The member may change the termination date within the
   99  limitations of this paragraph, but only with the written
  100  approval of the employer;
  101         c. A properly completed DROP application for service
  102  retirement as provided in this section; and
  103         d. Any other information required by the division.
  104         3. The DROP participant is a retiree under the Florida
  105  Retirement System for all purposes, except for paragraph (5)(f)
  106  and subsection (9) and ss. 112.3173, 112.363, 121.053, and
  107  121.122. DROP participation is final and may not be canceled by
  108  the participant after the first payment is credited during the
  109  DROP participation period. However, participation in DROP does
  110  not alter the participant’s employment status, and the member is
  111  not deemed retired from employment until his or her deferred
  112  resignation is effective and termination occurs as defined in s.
  113  121.021.
  114         4. Elected officers are eligible to participate in DROP
  115  subject to the following:
  116         a. An elected officer who reaches normal retirement date
  117  during a term of office may defer the election to participate
  118  until the next succeeding term in that office. An elected
  119  officer who exercises this option may participate in DROP for up
  120  to 96 calendar months or no longer than the succeeding term of
  121  office, whichever is less.
  122         b. An elected or a nonelected participant may run for a
  123  term of office while participating in DROP and, if elected,
  124  extend the DROP termination date accordingly; however, if such
  125  additional term of office exceeds the 96-month limitation
  126  established in this paragraph, and the officer does not resign
  127  from office within such limitation, the retirement and the
  128  participant’s DROP is null and void as provided in sub
  129  subparagraph (c)5.d.
  130         c. An elected officer who is dually employed and elects to
  131  participate in DROP must terminate all employment relationships
  132  as provided in s. 121.021(39) for the nonelected position within
  133  the original period or maximum participation period as provided
  134  in this paragraph. For DROP participation ending:
  135         (I) Before July 1, 2010, the officer may continue
  136  employment as an elected officer as provided in s. 121.053. The
  137  elected officer shall be enrolled as a renewed member in the
  138  Elected Officers’ Class or the Regular Class, as provided in ss.
  139  121.053 and 121.122, on the first day of the month after
  140  termination of employment in the nonelected position and
  141  termination of DROP. Distribution of the DROP benefits shall be
  142  made as provided in paragraph (c).
  143         (II) On or after July 1, 2010, the officer may continue
  144  employment as an elected officer but must defer termination as
  145  provided in s. 121.053.
  146         d. An elected officer who has deferred termination as
  147  provided in s. 121.053 before June 30, 2023, is ineligible to
  148  extend DROP participation beyond 60 months.
  149         Section 2. The Legislature finds that a proper and
  150  legitimate state purpose is served when employees and retirees
  151  of the state and its political subdivisions, and the dependents,
  152  survivors, and beneficiaries of such employees and retirees, are
  153  extended the basic protections afforded by governmental
  154  retirement systems. These persons must be provided benefits that
  155  are fair and adequate and that are managed, administered, and
  156  funded in an actuarially sound manner, as required by s. 14,
  157  Article X of the State Constitution and part VII of chapter 112,
  158  Florida Statutes. Therefore, the Legislature determines and
  159  declares that this act fulfills an important state interest.
  160         Section 3. This act shall take effect July 1, 2024.

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