HB 5005 - State-Administered Retirement Systems

• Increases employer contribution to retiree health insurance subsidy from 1.20% to 1.26% of gross compensation effective July 1, 2014, for all state-administered plan members, elected officers, senior management service class, and regular/special risk classes.

• Updates employer retirement contribution rates effective July 1, 2014, including adjustments for unfunded actuarial liabilities across all membership classes (Regular Class, Special Risk Class, Elected Officers' Class, Senior Management Service Class, and DROP).

• Revises section 121.74 terminology to clarify that employers contribute an "employer assessment" of 0.04% (increased from 0.03%) of payroll to offset costs of administering the investment plan and providing educational services to Florida Retirement System members.

• Establishes legislative findings declaring that providing fair, adequate, and actuarially sound retirement benefits and health insurance subsidies to state employees, officers, retirees, and their beneficiaries serves an important state interest consistent with the state constitution.

• Takes effect July 1, 2014.