HF 2046 (LSB 5818YH (3) 88)

HOUSE FILE 2046

BY  KACENA

A BILL FOR

An Act providing for appropriations to the statewide fire and police retirement system and including effective date provisions.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  NEW SECTION.  411.20  State appropriation.
   1.  There is appropriated from the general fund of the state for each fiscal year an amount equal to three and seventy-nine hundredths percent of the covered earnable compensation to be distributed to the statewide fire and police retirement system, or to the cities participating in the system, to finance the cost of benefits provided in this chapter by amendments of the Acts of the Sixty-sixth General Assembly, chapter 1089. The method of distribution shall be determined by the board of trustees based on information provided by the actuary of the statewide retirement system.
   2.  Moneys appropriated by the state shall not be used to reduce the normal rate of contribution of any city below seventeen percent.
    Sec. 2.  STATEWIDE FIRE AND POLICE RETIREMENT SYSTEM FUND —— APPROPRIATION.
   1.  There is appropriated from the general fund of the state for deposit in the statewide fire and police retirement fund created in section 411.8, for the fiscal year beginning July 1, 2019, and ending June 30, 2020, the following amount:
   ...................................................................... $ 10,800,000

   2.  Moneys appropriated by the state pursuant to this section shall not be used to reduce the normal rate of contribution of any city below 17 percent.
    Sec. 3.  EFFECTIVE UPON ENACTMENT.  The following, being deemed of immediate importance, takes effect upon enactment:
   The section of this Act providing for an appropriation to the statewide fire and police retirement fund for the fiscal year beginning July 1, 2019.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill provides for a state appropriation to the statewide fire and police retirement system established in Code chapter 411 equal to 3.79 percent of the covered earnable compensation of the members. The percentage represents the cost of benefits provided by Acts of the 66th General Assembly. The bill restores the standing state appropriation to the retirement system that was repealed by 2010 Acts, chapter 1167. The repealed language had set the state appropriation based upon the cost of benefits provided by the Acts of the 66th General Assembly but did not specify a percentage.
   The bill also provides for an appropriation from the general fund of the state to the statewide fire and police retirement system fund for the fiscal year beginning July 1, 2019, for $10.8 million. This provision of the bill takes effect upon enactment.