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Text: HF00103                           Text: HF00105
Text: HF00100 - HF00199                 Text: HF Index
Bills and Amendments: General Index     Bill History: General Index

House File 104

Partial Bill History

Bill Text

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 of
  1 18 contribution 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 is
  1 28 greater.
  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 35 seventeen percent the 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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