Text: HF00103 Text: HF00105 Text: HF00100 - HF00199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. Section 411.8, subsection 1, paragraph b, Code 1 2 1997, is amended to read as follows: 1 3 b. On the basis of the rate of interest and of the 1 4 mortality, interest and other tables adopted by the system, 1 5 the actuary engaged by the system to make each valuation 1 6 required by this chapter, shall immediately after making such 1 7 valuation, determine the "normal contribution rate". Except 1 8 as otherwise provided in this lettered paragraph, the normal 1 9 contribution rate shall be the rate percent of the earnable 1 10 compensation of all members obtained by deducting from the 1 11 total liabilities of the fund the amount of the funds in hand 1 12 to the credit of the fund and dividing the remainder by one 1 13 percent of the present value of the prospective future 1 14 compensation of all members as computed on the basis of the 1 15 rate of interest and of mortality and service tables adopted, 1 16 all reduced by the employee contribution made pursuant to 1 17 paragraph "f"of this subsection.However, the normal rate of1 18contribution shall not be less than seventeen percent.1 19 Beginning July 1, 1996, and each fiscal year thereafter, 1 20 the normal contribution rate shall be the rate percent of the 1 21 earnable compensation of all members obtained by deducting 1 22 from the total liabilities of the fund the amount of the funds 1 23 in hand to the credit of the fund and dividing the remainder 1 24 by one percent of the present value of the prospective future 1 25 compensation of all members as computed on the basis of the 1 26 rate of interest and of mortality and service tables adopted, 1 27 multiplied by six-tenths, or seventeen percent, whichever is1 28greater. 1 29 The normal rate of contribution shall be determined by the 1 30 actuary after each valuation. 1 31 Sec. 2. Section 411.20, unnumbered paragraph 2, Code 1997, 1 32 is amended to read as follows: 1 33 Moneys appropriated by the state shall not be used to 1 34 reduce the normal rate of contribution of any city below 1 35seventeen percentthe normal contribution rate calculated 2 1 pursuant to section 411.8. 2 2 EXPLANATION 2 3 Current law provides that the contribution rate required 2 4 from cites to the fire and police retirement fund created in 2 5 chapter 411 shall be the greater of the rate determined by the 2 6 actuary for the system based upon the liabilities of the 2 7 system or a minimum contribution rate of 17 percent of the 2 8 earnable compensation of a member of the retirement system. 2 9 This bill eliminates the 17 percent minimum required 2 10 contribution rate and retains the requirement for the actuary 2 11 to determine the rate based upon the liabilities of the 2 12 system. 2 13 LSB 1657HH 77 2 14 ec/jw/5
Text: HF00103 Text: HF00105 Text: HF00100 - HF00199 Text: HF Index Bills and Amendments: General Index Bill History: General Index
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