28080741, 19-11.001 - Florida Administrative Rules, Law, Code, Register

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Florida Department of State and Division of Library and Information Services

Notice: 28080741

Notice of Proposed Rule

Department:

STATE BOARD OF ADMINISTRATION

Chapter:

PROCEDURES FOR THE PUBLIC EMPLOYEE OPTIONAL RETIREMENT PROGRAM

Overview

RULE:

19-11.001	Definitions
19-11.002	Beneficiary Designations and Distributions for FRS Investment Plan
19-11.003	Distributions from FRS Investment Plan Accounts
19-11.004	Excessive Trading in the FRS Investment Plan
19-11.006	Enrollment Procedures for New Hires
19-11.007	Second Election Enrollment Procedures for the Florida Retirement System Retirement Programs
19-11.008	Forfeitures
19-11.009	Reemployment with an FRS-Participating Employer after Retirement
19-11.012	Rollovers or Plan to Plan Transfers to or from the FRS Investment Plan
19-11.014	Benefits Payable for Investment Plan Disability and In-Line-Of-Duty Death Benefits

PURPOSE:

Rule 19-11.001 is being amended to update the definition of an exempt transaction to include rollovers of eligible funds; to update the age by which plan members must take Required Minimum Distributions once they terminate employment; to add a definition for “volunteer services;” and to make some editorial revisions. Rule 19-11.002 is being amended to adopt the latest version of the FRS Investment Plan Beneficiary Designation Form; to set forth the most recent versions of the General Retirement Plan Enrollment Form and the 2nd Election Enrollment Form; and to provide that if a member’s spouse either cannot be located or refuses to sign the acknowledgement of beneficiary designation form, then the member may request that the requirement of the acknowledgement be waived by providing an affidavit setting forth the particular facts and circumstances. Rule 19-11.003 is being amended to update instructions as to how a copy of Internal Revenue Code Section 401(a)(9) may be obtained from the Internal Revenue Service website; to update the age by which plan members must take Required Minimum Distributions once they terminate employment; and to update examples showing how certain distributions to members could be invalid. Rule 19-11.004 is being amended to update how to obtain copies of the SEC regulations on excessive trading; and to update the examples for market timing trades and roundtrip trades. Rule 19-11.006 is being amended to adopt the latest versions of the various enrollment forms. Rule 19-11.007 is being amended to adopt the latest versions of the 2nd election enrollment forms. Rule 19-11.008 is being amended to state that if a member, who transferred from the Pension Plan to the Investment Plan before vesting in the Pension Plan benefit leaves FRS employment, the member will be entitled to employee contributions plus any vested Investment Plan benefit. However, if the member takes a distribution of any Investment Plan funds, the member will immediately be considered “retired” and will forfeit any unvested Pension Plan funds, as well as any earnings on such funds and any service credit related thereto. Rule 19-11.009 is being amended to provide that a member who participates in an FRS-participating employer’s volunteer programs within the first 12-month period following termination still will be eligible to receive retirement benefits; and to adopt the latest version of the Certification Form that is used to prevent the hiring of ineligible retirees. Rule 19-11.012 is being amended to adopt the latest versions of the Employee Rollover Deposit Instructions and Form, and the DROP member rollover forms. Rule 19-11.014 is being amended to update a statutory cite.

SUMMARY:

To adopt updated forms; to clarify/correct certain information; to add a definition for “volunteer services.” There are no other rules incorporating these proposed amended rules. The proposed amendments do not have an impact on any other rules. Legislative ratification of the rule amendments is not required.

RULEMAKING AUTHORITY:

121.4501(8) FS

LAW:

112.3173, 119.07(4)(d), 121.021(29), (39), 121.051, 121.055, 121.73, 121.78, 121.091(5)(j), (8), 121.35, 121.4501(1), (2), (3), (4), (5), (6), (7), (8), (9), (10), (11), (12), (13), (14), (15), 121.591(3), 121.77, 121.78. 732.802 FS.

PRINT PUBLISH DATE:

2/21/2024 Vol. 50/36

COMMENTS:

From 2/21/2024 To 3/13/2024 (21 Days)
The public comment period for this notice has already expired.

REFERENCE MATERIALS:

Ref-14007 FRS Investment Plan Acknowledgment of Beneficiary Designation- 03-20
Ref-14010 Employment Termination Form-06-19
Ref-16162 FRS Investment Plan Spousal Acknowledgement of Beneficiary Designation- 07-01-23

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