The Key West Citizen Newspaper, September 7, 1939, Page 14

ee gmean interest at such rate as may set from time to time by the Board of Trustees in accordance with Subsection (3) of Section 10 of this Act (43) “Accumulated contributions” shall mean the sum of all the amounts deducted from the salary of @ member and credited to his indiv- idual account in the annuity savings funds. provided in Subsection (1) of Section 9 of this Act, together with regular interest ‘on such amounts. (443. “Earnable Compensation” ghali mean the full ompensation payable to a teacher working the full working time for his position. In cases where compensation includes mamtenance. the Board of Trustees hall fix the value of that part of the eompensation during any one year shall r include any part of the . compensation received by a teacher s of twelve hun- dred do 90.00) and all com- pensation ed by a teacher in in excess of twelve (1,200.00) shall be the definition of nsation” as used in rece ear Final Sompensa- the average annual pensation of mem- s last ten years serv- acher, of if he should @ less than ten years of service, average nual earnable com- sation during his entire period service ‘Annuit} yments for all mean annual derived pro- from the accu: ms of a member. All paid in equal * shall mean . computed at re n the basis of such Il be adopted of all pay- penta to be an- or granted A Pension nents for in this the State shall be nstallments. made fit on in nder u of the nuity any an- provisions annual pro pro- All equal 1 mean derived from money of Florida. paid in sh life Act ve” shall mean computed at reg- the basis of such mortality tables as shall be adopted by the Board of Trustees, of all payments.to be made on granted under th "| present interest on ular the pro- Ret visions (204 megn the an <2L) “Actuarial Equiv: mean a benefit of equal v computed at regular interest upon basis of the mortality tables by the Board of Trustees. ;masculine pronoun when- ll include the feminine. i AND DATE OF A retirement Allowance" shall » when ding retirement r benefits for ate of Florida 9 created shall be- as ot the y nderd a ive Such powe a corporation to carry out effe ich name ansacted, and of for the prop- purpose 2 received. ADMINISTRATION—(1) iministration and thi the proper ope ment system and the provisions reby vested in the Truste Subject to the on this t the Board of 3 shall from time to time es: n rules and regulations for the tration and transaction of tho the retirement system erform such other func- eguired for the execu- A hip of the Board ist of the Stat nd wo mem- own as teacher hall be appointed for terms of three ¢ appointees shall listinction who shall for at least five pall cor Educatic hall be k: terms of of be vely the the first two the Board of two and three Following the al terms, the such members ini of years, appointment cher and mem- five mpowered to perform e Board of Trustees. cy in the Board of filled for the un- t me manner ously filled of the membe the Board of 5 without. com- at shall be reimbursed expense fund, provided un- ) of Section 9 of ecessary expel rmance of their pr of the retire. fer loss of sal- gh serving on Tr mbership hairman, and tary who may of its members. all give bond in and with such sure- ard m requir The all employees of the shall be fixed y her expen vy for the prop- retimement at such ra d the Board of be but sys- Approve of Trustees shall t form such data ary for actuarial arious funds creat- chec nent Sys eneral of the be the legal sard of Trustees. Trust in its’ ju to carry ou’ this Act a their — compensation. employees of the Board actuary who shall be the adviser of the Board of matters regarding the unds created by Act 1 who ther duties as mnection there- in ¢ the pa ary of make ality ce the such serv- of the nd, and autho- ermining and service ta- bmitted to doption. tigation the Board of for the retire- e uch mortality and shall be deemed certify the rates ble under the dation shall adopt nal ar 1943 and at least e-year period there- y shall make an ac- ‘ount of J tuarial investigation of the mortal- ity, service and salary experience of the members and beneficiaries as defined in this Act, and shall make a valuation of the various funds creat- ed by the Act. and having re to such investivation and valuatio the Board of Trus.ees shall adopt such mortality and service tables as shall be deemed necessary, and shall certify the rates of contribution pay- able under the provisions of this Act. (13) The actuary shall make an annual valuation of the assets and liabilities of the funds of the retire- ment system on the basis of the ta- bles adopted by the Board of Trus- tees in accordance with the require- ments of this section, and shall pre- pare an annual statement of the amounts to be contributed to the pension accumulation fund in accord- ance with paragraphs (b), (c) and (dof Subsection (3) of Section 9 of this act. (14). The Board of Trustees shall publish annually the valuation, as certified by the actuary, of the as- sets and liabilities of the various funds created by this act, a state- ment as to the receipts and disburse- ments of the funds, and a statement as to the accumulated cash and se- curities of the funds. (15) The Board of Trustees shall keep a record of all of its proceed- ings and such record shall be open to inspection by the public. SECTION 4, MEDICAL BOARD— The Board of Trustees shall employ a medical board of three physicians not eligible to participate in the re- tirement_ system. The Medical Board shall arrange for and shall pass upon all medical minations required under the pro- visions of this act, shall investigate all essentials health or medical state- ments and certificates by or in be- half of a member in connection with his application for disability retire- ment, and shall report in writing to the Board of Trustees its con- clusions and recommendations upon all the matters referred to it and per- form such other duties as may be re- quired of them by the Board of Trustees. SECTION 5. | MEMBERSHIP—(1) membership of the retirement ystem shall consist of the follow- (a) All_gersons who w at any time during the school year or 1937-1938, or 1938- become members as of , unless, prior to Decem- any such teacher shall the Board of Trustees on a form prescribed by such Board, a notice of his tion not to be cov- ered in the membership of the re- tirement system and a duly executed waiver of all present and prospec- tive benefits which would otherwise inure to him on account of his par- ticipation in the retirement system. (b) All persons who are teachers on or after the first day of July, nineteen hundred and thirty-nine, e: cept as provided in sub-section’ (a ‘eof. shall become members of the retirement system by virtue of their appointment as teachers. (2) A teacher whose membe: in the retirement system is contin- xent on his own election and who not to become a member may hereafter apply for and be admitted © membership, but no such teacher shall re e prior service credit un- less he is admitted to membership as of a date before the first day of July, nineteen hundred and forty. (3) The membership of any per- son in the retirement system. shall cease if he shall be continuously unemployed as a teacher for a period of more than two years; or if in any five-year period after he last became a member he shall render 1 than three years of service as a her; or upon the withdrawal by a member of his accumulated con- tributions as provided in Subsection (6) of Section 7 of this act; or upon retirement or upon death. (4) The Board of Trustees may in its diseretion deny the right to become members to any class of teachers who are serving on a tem- porary, or:any other than a per an- num basis, and it may also in its dis- cretion make optional with members in any such class their individual entrance into membership. SECTION 6. MEMBERSHIP AP- PLICATION AND CREDITABLE SERVICE—(1) Under such rules and regulations as the Board of Trus- tees shall adopt, each teacher upon becoming a member shall file with the Board of Trustees an application showing date of birth and such oth- er necessary information as_ the Board of Trustees may require for the proper operation of the retirement system. Until such application is e teachers ip filed no teacher nor his beneficiary h: shall be eligible to benefits under this act. ber w receive any If a mem- teacher durine the school 1936-1937, or 1937-1938, or 1938- and becomes member before the first day of July, nineveen hun- dred and forty, he ‘shall itemize on such application all service as a teacher rendered prior to the date of ab nent of the retirement sys- tem. including service in a similar capacity in other states rendered by him prior to the first day of Jul: nineteen hundred and thirty f which he claims credit. (2) The Board of Trustees shall fix and determine bv appropriate rules and regulations how much service in any year i; the equiva- lent of a year of service, but in no case shall it allow any credit for a period of absence without pay of more than one year of service for ull service in any school year. (3) Subject to the above restric- tion and to such other rules and regulations as the Board of Trustees shall adopt, the Board of Trustees shall v . a8 soon as practicable ufter the filing of the application, the statement of service therein claimed and shall ue to each member wo was a teacher during the school year immediately preceding the date of establishment of the retirement sy: tem and who became a member fore the first day of July, hundred and forty, a prior service fi certifying the length of service with which he is credited on the basis of his statement of serv- 5 uch prior service credit shall include credit for ser rendered prior to date of establishment, as a teacher within the State of Florida or in a similar capacity outside the State but not more than ten years of credit for service outside the State shall be included. Credit for prior service outside the State of Florida may be claimed only by a person employed as a teacher by a County Board of Public Instruction in the State of Florida prior to July 1, 1930, provided that service rendered the State subsequent to July 19 shall not be included. (4) So long as membership con- tinues, a prior service certificate shall be final and conclusive for re- tirement purposes as to such prior service credit unless modified the Board of Trustees upon applic tion made by the member within one year after the date of issuance or modification of a prior service certificate or upon the discovery by tt e Hoan of Trustee: of error or ud. (3) When membership ceases such certificate shall become void. Should the teacher again become a member, such teacher shall enter the system as a teacher not entitled to prior service credit, except as provided in paragraph (c) of Subsection (5) of Section 7 of this Act. (6) Creditable service at retire- ment on which the retirement allow- ance of a member shall be based shall consist of the membership service rendered by him since he last became a member, and _ also, if he has a prior service certificate which is in full force and effect, the service certified on his prior service certificate. REGULAR BENE e- nineteen SECTION 7. FITS—() (a) Any member in serv- ice may retire upon his written ap- plication to the Board of Trustees setting forth at what time, not less than thirty nor more than ninety days subsequent to the execution and filing of such application, he desires to be retired, provided that such member at the time so speci- fied for his retirement has attained sixty years of age notwithstanding that during such period of notifi- cation he may have separated from service, provided further, that be- fore such member can retire he must file with the Board of Trustees his written selection of one of the op- tional benefits provided in Section 8 of this Act. 2 (b) Any member who has attain- ed seventy years of age before the first day of July, nineteen hundred and forty-one, or who attains sev- enty years of age, on or after said date, shall be retired forthwith, pro- vided, however, that with the ap- proval of his employer he may re- main in service until the end of the school year following the date on which he attains seventy years of age. If any member retires under the provisions of this sub-paragraph who before his death fails to select one of the optional benefits set forth in Section 8 hereof, his executors or administrators shall receive the balance of his accumulated contribu- tions. (2). Upon service retirement a member shall receive a service re- tirement allowance which shall con- sist of: (a) An annuity which shall be the actuarial equivalent of his accumu- lated contributions at the time of his retirement; and We (b)_ A pension, in addition to this annuity, of one one hundred fortieth (1-140) ‘of his average final com- pensation multiplied by the number of his years of membership service since he last became a member; and (c) If the member has a prior service certificate in full force and effect. an additional pension of one seventieth (1-70) of his average fin- al compensation multiplied by the number of years of service certified on his prior service certificate. (3) Any member in service who has fifteen or more years of creditable service may, upon the application of his employer or upon his own appli- cation, be retired by the Board of Trustees not less than thirty nor more than ninety days after fol- lowing the date fo filing such appli- cation, on a_ disability retirement allowance, provided that the medical board after a medical examination of such member shall certify that such member is mentally or physic- ally incapacitated for ‘the further performance of duty, that such in- capacity is likely to’ be permanent, enn iat such member should be re- tired. (4) Upon retirement on account of disability a member shall be paid his service retirement allowance if he is eligible for a service retire- ment allowance, otherwise he shall receive a retirement allowance which shall consist of: (a) An annuity which shall be the actuarial equivalent of his ac- cumulated contributions at the time of retirement; and (b), A pension which together with his annuity shall provide a total re- tirement allowance equal to ninety ber centum of one seventieth of his average final compensation multi- plied by the number of years of service creditable to him at retire- ment, if such retirement allowance ceeds twenty-five per centum of average final compensatiol If such retirement allowance does not exceed twenty-five per centum of his average final compensation, a pen- sion shall be payable which together with his annuity shall provide a to- tal retirement allowance of twenty- five per centum of his average final compensation, provided, however, that no retirement allowance shali exceed exceed ninety per centum of one seventieth of his average final compensation multiplied by the num- ber of years of total service which would be credited to the member were his service continued to the, minimum age for service retirement. (5) (a) One each year during the first five years following the retire- ment of a member on a disability retirement allowance, and once in every three-year period thereafter, the Board of Trustees may require any disability beneficiary Who has not yet attained his minimum sery- ice retirement age to undergo a med- ical examination by the medical board or a physician or physicians designated by the medical board, such examination to be made at the place of residence of said beneficiary or other place mutually agreed upon. Should a disability beneficiary who not yet attained his minimum service retirement age refuse to sub- mit to any such medical examina- tion, his retirement allowance shall be discontinued until his withdrawal of such refusal, and should such re- fusal continue for one year, all his ‘ights in and to his pension shall be forfeited. (b) Should the medical board re- port and certify to the Bord of Trus- tees that such disability beneficiary is engaged in or is able to engage in a gainful oceupation paying more than the difference between his disability retirement allowance and his average final compensation, and should the Board of Trustees’ con- cur in such report, then the amount of his pension shall be reduced to an amount which, together with his annuity and the amount earnable by him. shall equal the amount of his average final compensation. Should his earning capacity later be changed, the amount of his pension may be further modified, provided that the pension so modified shall not exceed the amount of the pen- sion allowable under Subsection (4) of this section, at the time of retire- ment, nor an amount which when added to the amount earnable by the beneficiary, together with his an- nuity, equals the amount of his av erage final compensation. A _bene- ficiary restored to active service at a salary less than the average final compensation upon the basis of which he was retired shall not be- come a member of the retirement system at that time. {c) Should a disability beneficiary under his minimum service retire- ment age be at any time in service at a salary equal to or greater than his average final compensation upon the basis of which he was retired, his disability retirement allowance shall cease and he shall again be- come a member of the retirement system and shall contribute there- er at the same rate at which he id prior to disability. Any prior service certificate on the basis of which his allowance was computed at the time of his disability retire- ment shall be restored to full force and effect. and in addition, upon his juent retirement he shall be d_with all his membership service on the basis of which his al- lowance was computed at the time of his disability retirement, but should he be restored to active serv- ice on or after the attainment of fifty years of age, his pension upon suosequent retirement shall not ex- ceed the sum of the pension which he was receiving immediately prior to his last restoration to membership and the pension that he would have received on account of his service since such last restoration had he first become a member at that time. 6) Should a member cease to be a teacher except by death or by re- tirement under the provisions of this act, he shall be paid such part. of the amount of his accumulated con- tributions as he shall demand. Should a member die before retirement the amount of his accumulated contri- butions shall be paid to such person, if any. as he shall have nominated by written designation duly executed and filed with the Board of Trustees, otherwise to his executors or admin- istrators, SECTION 8. OPTIONAL BENE- FITS—A member may elect to re- ceive his benefits under the terms of this Act according to the provis- ions of any one of the following op- tions: Option 1. He may elect to receive his benefits in a retirement allow- ance payable throughout his life, or Option 2. He may elect to receive on retirement the actuarial equiva- lent (at that time) of his retirement allowance in a reduced retirement allowance payable throughout life with the provisions that if he dies before he has received in payments of his annuity the amount of his accumulated contributions as they were at the time of his retirement, the balance shall be paid to such person, if any, as he shall nominate by written designation duly acknowl- edged and filed with the Board of Trustees, otherwise to his executors or administrators. SECTION 9. METHOD OF FI- NANCING—AII of the assets of the retirement system shall be credited, according to the purposes for which they are held, to one of five funds, namely, the annuity savings funds, the annuity reserve fund, the pen- sion accumulation fund, the pension reserve fund, and the expense fund. (1) The annuity savings fund shall be a fund in which shall be accum- ulated contributions made from the salaries of members under the pro- visions of Paragraph (b) or Para- graph (f) of this subsection. Contributions to and payments from the annuity savings fund shall be made as follows: (a) Upon the basis of such tables as the Board of Trustees shall adopt and regular inte! the actuary of the retirement tem shall deter- ine for each member the propor- tion of earnable compensation which, when deducted from each payment of his prospective earnable annual compensation prior to his minimum service retirement age and accumu- lated at regular interest until such age, shall be computed to provide at such age, an annuity equal: to one one hundred fortieth (1-140) of his average final compensation mul- tiplied by the number of his years of membership service. In the case of any member who has attained his mimium service retirement age prior to becoming a member, the pro- portion of salary applicable to such a member shall be the proportion computed for the age one year younger than his minimum service retirement age. (b) The Board of Trustees shall certify to each employer the pro- portion of the earnable compensa- tion of each member who is com- pensated by the employer, and the employer shall cause to be deducted from the salary of each member on each and every payroll for each and every payroll period an amount equal to the proportion of the mem- ber's earnable compensation so com- puted. But the employer shall not make any deuction for annuity pur- poses from the compenstion of a member who has attained the age of sitxy years if such member elects not to contribute. (c) In determining the amount earnable by a member in a pay- roll period, the Board of Trustees may consider the rate of compe! tion payable to such member on the first day of the payroll period as continuing throughout such payroll period, and it may omit deductions from ‘compensaiton for any period less than a full pay roll period if a teacher was not a member on the first day of the payroll period, and to facilitate the making of deduc- tions, it may modify the deduction required of any member by such an amount as shail not exceed one tenth of one per centum of the annual sal- ary from which said deduction is to be made. (d) The deductions provided for herein shall be made notwithstanding that the minimum compensation pro- vided for by law for any member shall be reduced thereby. Every member shall be deemed to consent and agree to the deductions made and. provided for herein, and shall reegipt.in full for his salary or com- pensation; and payment, of salary or compensation less said deductions shall be a full and complete dis- charge and acquittance of all claims and demands whatsoever for the services dered by such person during the period covered by such payment except as to the benefits provided by this Act. = (e) Notwithstanding the preced- ing provision, no deduction shall be made from any member's salary with respect to which the States contri- butions on his account are in de- fault. (f) from In addition to the deductions salary as__hereinbefor re- quired, any member may, subject to the approval of the Board of Trustees, redeposit in the annuity savings fund by a single payment or by an increased vate of contri- bution an amount equal to the total amount which he previously wi drew therefrom as provided in this Act. or any part thereof; or any member may deposit in the annuity savings fund, by a single payment or by an increased rate of contri- bution, amounts for the purchase of an additional annuity, but such ad- ditional payments shall not exceed the amounts computed to provide, with his prospective retirement al- lowance, a total retirement allow- ance of one half of his prospective average final compensation at his minimum service retirement age. Such additional amounts so deposit. ed shall become a part of his accun ulated contributions, except that in the case of disability retirement they shall be treated as exc: con- tributions returnable to the member in cash or as an annuity of equiva- lent actuarial value and shall not be considered in computing his pension. (g) The accumulated — contribu- butions of a member returned to him upon withdrawal or paid as provid- ed in this Act to his designated beni ficiary, cr to his executors or admin- istrators. in the event of his death shall be paid from the annuity sav- ings fund. (h) Upon member his tions shall the retirement of a accumulated contribu- be transferred from annuity savings fund to the annuity reserve fund, provided in Subsection (2) of this section. (2). The annuity be the fund in which shall be held the reserves on all annuities in force. and from which shall be paid all annuities and all benefits in lieu of annuities. Should a beneficiary retired on account of disability again become a member of the retirement system, his annuity reserve shall be transferred from the annuity reserve fund to the annuity savings fund and credited to his individual account in the annuity savings fund. (3) The pension accumulation fund shall be the fund in which shall be accumulated all reserves for the payment of all pensions and other benefits payable from contribu- tions made by the State of Florida and from which pensions and bene- fits in lieu thereof shall be paid to or on account of beneficiaries cred- ited with prior service. Contribu- tions to and payments from the pension accumulation fund shall be made as follows: (a) On account of each member there shall be paid annually into the pension accumulation fund by the State of Florida on account of the preceding year a certain percentage of his earnable compensation, to known as the “normal contribution. and an additional percentage to his earnable compensation, to be known as the “accrued liability contribu- tion.” The rates per centum of earnable compensation of such con- tributions shall be fixed on the basis of the liabilities of the retirement system as shown by actuarial val- uation. (b) On the basis of regular inter- est and of such mortality and other tables ag shall be adopted by the erve fund shall Board of Trustees, the actuary en- gaged by the Board of Trustees to make each valuation required by this Act shall, during the peri over which the accrued liability con- tribution is payable, determine, im- mediately after making such valua- tion, the uniform and constant per- centage of the earnable compensa- tion of the average new entrant, which, if contributed on the basis of his compensation throughout his en- tire period of service, would be suf- ficient to provide, for the paymest of any pension pa¥able by the State on his account. The rate per centum so determined shall be known as the “normal contribution rate. After the accrued liability rate shall be the rate per centum of the earnable compensation of all members ob- tained by deducting from the total liabilities of the pension accumula- tion fund the amount of the funds in hand to the credit of that fund and dividing the remainder by one per centum of the present vaiue of the prospective future salaries of all members as computed on the basis of the mortality and service tables adopted by the Board of Trustees and on the basis of regular interest. The normal rate of contribution shall be determined and certified to the Board of Trustees by the actuary af- ter each valuation and shall ‘con- tinue in force until a new valuation and certification are made. (c) Immediately succeeding the first valuation the actuary engaged by the Board of Trustees shall com- pute the rate per centum of the to- tal annual earnable compensation of all members which is equivalent to four per centum of the amount of the total liability for his pensions on account of all members and benefi- ciaries and not dischargeable by the present assets of the pension ac- cumulation fund and by the afore- said normal contribution if made on account of such members during the remainder of their active serv- ice. The rate per centum, originally so determined, shall be known as the “accrued liability contribution’’ rat (@) The total amount payable i each year into the pension accumu- lation fund shall be not less than the sum of the rates per centum known as the normal contribution rate and the accrued liability contri- bution rate, of the total earnable compensation of all members dur- ing the preceding year, provided, however, that the amount of each annual accrued liability contribution shall be at least three per centum greater than the preceding annual accrued liability contribution, and provided that the aggregate’ pay- ment into the pension accumulation fund shall be sufficient, when com- bined with the amount then held in the fund to provide the benefits pay- able from the fund during the cur- rent year. (e) The accrued liabili tion shall be discontinu as the accumulated reserve pension accumulated reserve in the equal the present value, as actuar- ially computed and approved by the Board of Trustees, of the total li- ability of such fund less the pres- ent value, computed on the basis of the normal contrbiution rate then in force, of the prospective normal contributions to be received on ac- count of persons who are at that time members. (f) All pensions and benefits in lieu therepf. with the exception of those payable to members not en- titled to prior service credit, shall be paid from the pension accumula- tion fund. (g) Upon the retirement of a member not entitled to credit for prior service an amount equal to his pension service shall be’ trans- ferred from the pension accumula- tion fund to the pension reserve fund, provided in Subsection (4) of this section. th) The Board of Trustees may in its discretion transfer to and from the pension accumulation fund the amount of any surplus or defici amount of any surplus or deficit which may develop in the reserve held in the annuity reserve fund or the pension reserve fund as shown by actuarial valuation. (4) ‘The pension reserve fund shall be the fund in which shall be held the reserves on all pensions granted to members not entitled to prior ser- vice credit and from which shall be paid such pensions and benefits in Jieu thereof. Should a beneficiary who has been retired on account of disability and who was not entitled to prior service credit as a member, again become a member of the re- tirement system, the pension reserve held on account of his pension shall be transferred from the pension re- serve fund to the pension accumu- Jation fund. Should the pension of such a disability beneficiary be re- duced as a result of an increase in his earning capacity the amount of the annual reduction in his pension shall be paid annually into the pen- sion accumulation fund during the period of such reduction. (5 The expense fund shall be the fund to which shall be credited all moneys contributed for the adminis- trative expenses of the retirement system and from which shall be paid all the expenses incurred in connec- tion with the administration and op- eration of the retirement system. Section 10. MANAGEMENT OF FUNDS.—(1) The Board of Trus- tees shall be the trustees of the sev- eral funds created by this Act and shall have full power and it shall be the duty of the Board of Trus- to invest and reinvest such ion of the funds as is not in judgment required to meet cur- t withdrawals. Such investments may be made only in interest bear- ing obligations of the United States or in obligations guaranteed as to both principal and interest by the United States. The Board of Trus- tees shall have full power to hold, purchase, sell, assign, transfer, or dispose of, any of the securities or investments in which any of the funds created herein shall have been invested, as well as of the proceeds of such investments and any moneys belonging to said funds. (2) The treasurer of the State of Florida shall be the custodian of the several trust funds of the retire- ment 5) . All payments from the several funds shall be made by the State Treasurer upon warrants of the Comptroller countersigned by the Governor which warrants shall be issued upon requisitions from the Board of Trustees. 3). The Board of Trustees annual- ly shall allow regular interest on the average amount for the preced- ing year to the credit of each of the funds of the retirement sys- tem, with the exception of the ex- pense fund, from the interest and dividends earned from investments. Any excess earnings over the amount so credited may be used in reducing the amount of contributions re- cuired of the State during the en- suing year. Regular interest shall mean ‘such rate, compounded an- nually, as shall be determined b: the Board of Trustees on the basis of the interest earnings of the sys- tem for the preceding year and, of the probable earnings to be made, in the judgment of the Board, during the immediate future. (4) Except as herein provided no member of the Board of Trustees and no employee of the Board shall have any interest, direct or indirect ,in the gains or profits of any in- vestment made by the Board of Trustees. nor as a member of the Board directly or indirectly, receive any pay or emolument for his ser- vices. No member of the said Board or employee thereof shall directly or indirectiy, for himself or as an agent, in any manner use the funds or deposits of the retirement sys- tem except to make such current and necessary payments as are au- thorized by the Board of Trustees nor shail any member or employee of the Board become an endorser or surety or in any manner an obligor contribu- iod TRIBUTIONS—(1) for moneys loaned by or borrowéd from the Board of Trustees. Sec. 11. COLLECTION paleo of members’ contributions shall be as follows (a) Each employer shall cause to be deducted from each and every payment of salary of a member for each and every papel period sub- sequént to the it day of July, nineteen hundred and_ thirty-nine, the contribution payable by st member as provided in this Act. — (b) Each employer shall transmit monthly. to ‘the Secretary of the Board of Trustees a warrant for the total amount of such juctions. The Secretary of the Board of Trustees, after making records of ail such warrants, shall transmit them to the Comptroller who shall de- liver them to the Treasurer of the State of Florida, who shall collect them. (2) The collection of the State’s be made as fol- contribution shall lows: : (a) On April first, A. D. nineteen hundred and forty-one and on April first of each year there after, the Board of Trustees shall certify to the Comptroller the amounts which will become due and payable dur- ing the ensuing fiscal year to each of the funds of the retirement sys- tem to which State contributions are payable as set forth in this Act and there is hereby appropriated an- nually from the General Revenue Fund of the State to the said sev- eral funds the amount necessary to pay the contributions of the State of Florida to such funds. (b) The Board of Trustees shall certify one quarter of the amount so ascertained for each year to the State Comptroller of the State of Florida on or before the last day of July, October, January, and April of each year. The Comptroller shall on or before the first day of August, November, February and May of each year draw his war- rant or warrants. which shall be countersigned by ‘the Governor, on the Treasurer of the State of Florida for the respective amounts due the several funds of the retirement sys- tem. On the receipt of the warrant or warrants of the Comptroller the Treasurer shall immediately trans- fer to the several funds of the re- tirement system the amounts due. (c) To cover the requirements of the system for the two years begin- ning July first, nineteen Rundrea and thirty-nine and prior to the receipt of the first regular appropriation made in accordance with Paragraphs (a) and (b) above there is hereby appropriated from the General Rev- enue Fund of the State of Florida to the pension accumulation fund the sum of Four Hundred Thousand Dollars ($400,000.00) and to the ex- pense fund, the sum of twenty-five Thousand Dollars ($25,000.00), which amounts shall be paid upon warrants drawn by the Comptroller, and coun- tersigned by the Governor, in equal amounts quarterly on August first and November first, nineteen hun- dred and thirty-nine and February first, May first, August first and No- vember first. nineteen hundred and forty and February first and May first, nineteen hundred and forty- one. Sec. 12. DUTIES OF EMPLOY- ERS—(1) Each employer shall keep such records and from time to time shall furnish such information as the Board of Trustees may require in the discharge of its duties. Upon the employment of any teacher to whom this Act may apply, he shall be informed by his employer of his duties and obligations in connection with the retirement system as a con- dition of his employment. Ever: teacher accepting employment shail be deemed to consent and agree to any deductions from his compen- stion required in this Act and to all other provisions of this Act. (2) During September of each year. or at such other time as the Board of Trustees shall approve each employer shall certify to the Board of Trustees the names of all teach- ers to whom this Act applies. (3) Each employer shall on the first day of each calendar month, or at such less frequent intervals as the Board of Trustees may ap- prove, notify the Board of Trustees of the employment of new teachers, removals, withdrawals and changes in salary of members that have oc- curred during the preceding month or the period covered since the last notification. Sec. 13. LIMITATION ON MEM- BERSHIP—No other provision of law in any other statute which pro- vides wholly or partly at the ex- pense of the State of Florida for pensions or for retirement benefits for teachers of the said State, their widows, or other dependents, shall anply to members or beneficiaries of the retirement system established by this Act, their widows or other dependents. No person who shall become a teacher as defined herein, after the first day of July, nineteen hundred and thirty-nine, shall be eligible to a pension under any stat- ute heretofore enacted. Sec. 14. PROTECTION AGAINST FRAUD—Any person who - shall knowingly make any false state- ment, or shall falsify or permit to be falsified any record or records of this retirement system in any at- tempt to defraud such system as a result of such Act, shall be guilty of a misdemeanor and shall be pun- ishable therefor under the laws of the State of Florida. Should any change or error in records result in any member or beneficiary receiving from the retirement system more or less than he would have been en- titled to receive had the records been correct, then on discovery of any such error the Board of Trus- tees shall correct such error, and as far as practicable shall adjust the payments in such a manner that the actuarial equivalent of the benefit to which such member or beneficiary was correctly entitled shall be paid. Sec. 15. EXEMPTION OF FUNDS FROM TAXATION, EXECUTION AND ASSIGNMENT.—The Pensions, annuities, or any other benefits ac- crued or accruing to any person un- der the provisions of this Act and the accumulated contributions and cash securities in the funds creat- ed under this Act are hereby ex- empted from any State, County or Municipal tax of the State of Flor- ida, and shall not be subject to exe- cution or attachement or to any legal process whatsoever, and shall be un- assignable except as in this Act specifically provided. Sec. 16. PENALTIES—Any person subject to the terms and provisions of this Act. including the individ- ual members of all Boards, who shall violate any of the provisions of this Act or any valid rule or regulation promulgated under authority of the Act, shall be guilty of a misde- meanor and upon conviction shall be punished by a fine of not exceed- ing $1,000.00 or by imprisonment in the County aa for not exceeding six months or both within the dis- cretion of the Court, for each such offense, and each day of such viola- — shall constitute a separate of- ense. Sec. 17. CONSTITUIONALITY— If any section or part of any section of this Act is declared to un- constitutional, the remainder of the Act shall not thereby be invalidated. All provisions the law inconstis- tent with provisions of this Act are hereby repealed to the extent of such inconsistency. Sec. 18. This Act shall take effect pastes upon its becoming a aw. Became a law without the Gover- nor’s approval. CHAPTER 19017 AN ACT to Amend Sections 11 and 12 of Chapter 17808, Laws of Flor- = Acts < a4 Entitled A to romote e janting uc- tion, Within the State pf Florida, of uch Any Sea Island Cotton; in the Exercise of the Reserve Powers of the State Loan of Florida to provide Protection for Growers and lucers of such Cot- ton Against Hybridization and Re- duction in Value Thereof; To That End Providing for Creation of Cot ton Production Control Districts: Prohibiting the Production, in said Districts, of Any Type of Cotton Other Than Sea island Cotton; Also Prohibiting the Planting Therein of of Cotton Seed or Plants Other Than Sea Island Cotton Seed of Plants; Providing for the Admin- instration and Enforcement of the Provisions Hereof; Making an An- ual Appropriation for the Purpose of Carrying Out the Provisions Here- of; Providing Penalties and Punish- ment for Violation of the Provisions Hereot” so as to Clarify the Pro- vision of Section 11 As to the Ter- ritorial Scope of the Act and In- creasing the Annual Appropriation Provides for in Section 12 of the ct. Be It Enacted by the Legislature of The State of Florida: Sec. 1. That Section 11 of Chap- ter 17808, Laws of Florida, Acts of 1937 be and the same is hereby am- ended to read as follows: Sec. II. The Commissioner of Agriculture of the State of Florida shall have, and is hereby vested with, all necessary and reasonable power to enable him to promote the planting and production of sea is- Jand cotton in any county of the State and to enforce and carry out the provisions of this Act, includ- ing among others. the power to: (Make reasonable rules and regulations not inconsistent with the provisions hereof; (2) Institute, in his name, such proceedings, either at law or in equity, in the courts of this State, as he may reasonably deem necessary to enforce and carry out the pro- visions hereof. and the regulations made by reason hereof; provided however that none of the funds hereby appropriated shall be expend- ed for legal advice or in any legal proceedings. (3) Appoint and fix the compen- sation of all necessary agents and inspectors to carry out and enforce the provisions hereof; (4) Make, or cause to be made, all necessary surveys and inspections in senerctions with the provisions here- of; (5) Refer to proper officers, charg- ed with the enforcement of the crim- inal or civil laws of this State, such facts as may come to his attention converning violations hereof; (6) Make. or cause to be made, studies and investigations, in any county in the State, that might aid in the increased planting of sea island cotton in the State and in the promotion of this industry in the State. Provided, however, that the enum- eration of specific powers in this section. shall not be construed to limit or circumscribe said Commis- sioner of Agriculture in the exer- cise of all lawful and reasonable power in and about the administra- tion and enforcement of the pro- visions of this Act. Sec. 2. That Section 12 of Chap- ter_17808, Laws of Florida, Acts of 1937. be and the same is_ hereby amended so as to read as follows: Sec. 12. For the purpose of carry- ing out, administering and enfore- ing the provisions of this Act, there is hereby appropriated the sum of $2,500.00 for the annual period end- ing June 30th, 1939, which sum shall be in addition to the sum heretofore appropriated for said period; and the sum of $25,000.00 for the annual period beginning July Ist, 1939, and ending June 30th, 1940; and the sum of $25,000.00 for the annual period beginning July Ist, 1940, and ending June 30th, 1941; said appropriations to be paid out of any funds in the treasury of the State of Florida not otherwise appropriated. Sec. 3. This Act shall take efiect upon its passagle by the Legislature and approval by the Governor, or upon its becoming a law without such approval. imo by the Governor May 10, CHAPTER 19008 AN ACT Amending Section 5 of Chapter 13761, Laws of Florida, Acts of 1929, Entitled, “An Act Repealin, Sections 370, 410, 412 of ‘Compiled General Laws, 1927, Being Same as Sections 313, 353 and 355 of Revised General Statutes. 1920, and Amending Sections 356, 359, 361, 386, 387, 400, 401, 405, 406, 407, 408, 409, 411 and 421, Compiled General Laws of Flor- ida, 1927, Being Sections 300, 303, 305, 329. 330, 343. 344, 348, 349, 350, 351, 352, 354 and 364, Revised Generali Statutes of Flori 1920 Relating to Primary Elections Providing for a Second Primary Election, Abolishing Second Choice Voting, and Relating to the Qualification of Voters and the Registration of Voters, and Oth. er Matters in Connection Therewith, Being Section 387, Compiled General Laws. 1917, by Changing to Forty- five Days the Time for Candidates for County Officers to File Their Sworn Statements and Receipts for Committee Assessments. Be It Enacted by the Legislature of The State of Florida: Sec. 1. That Section 5 of Chapter 13761, Laws of Florida, Acts of 1929. entitled, “An Act Repealing Sections 370, 410. 412 of Compiled General Laws. 1927, Being Same as Sections 313. 353 and 355 of Revised General Statutes, 1920, and Amend- ing Sections 356, 359, . 386, 387, 400, 401, 405, 406, 407, 409, 411 ‘and’ 421, Compiled General Laws of Florida, 1927, being Sections 300, 303, 305, 329, 330, 343, 344, 348, 349, 350, 351, 352. 354 and 364, Revised Generai Statutes of Florida, 1920, Relating to Primary Elections Providing for a Second Primary Election, Abolishing Second Choice Voting, and Relating to the Qualification of Voters and the Registration of Voters, and Other Matters in Connection Therewith,” being Section 387, Compiled General Laws, 1927, be and the same is amen- ded to change the time as herein- after underscored. so that said Sec- tion shall be and read as follows: “Sec. 5. Each candidate for nom- ination for an office to be voted for whoily within a single county shall file his sworn statement and receipt for committee assessment, if any has been levied, with, and pay his filine fee as herein required, to the Clerk of the Circuit Court of said County, who shall receive the same in his capacity as Clerk of the Board of County Commissioners of said county, not less than forty-five days previous to the day of the primary election.” _ Sec. 2. All laws and parts of laws in magtict herewith are hereby re- peale Sec.'3. This Act shall take effect upon becoming a law. 2 ap ereved by the Governor May 4, CHAPTER 19111 AN ACT Permitting the State Comptroller to Appoint the Federal Savings and Loan Insurance Corpo- ration to Act as Liquidator of any Building and Loan Association or Federal Savings and Loan Associa- tion Which Has Membership in the Federal Savings and Loan Insurance ration; To Act Without Bond and to Have All of the Usual Powers Granted a Liquidator Under the Laws of the State of Florida and Providing for a Subrogation of the Rights of the Members and Credi- tors. Be It Enacted by the Legislature of The State of Florida: 5 a The Federal Savings and Loan Insurance Corporation, created by Title IV by an act Con en- titled tional Housing ap- proved June 27, 1934. as now or hereafter amended, is hereby autho- rized and empowered, upon appoint- ment of the Comptroller to and act without bond as receiver or lig- uidator of any Building and Loan ct, Association of Federal Savings and Association, the shares, saving shares or investment shares in which are to any extent insured by said Corporation, and which shall have been closed on account of inability to meet the demands of its members or shareholders. The State Comp- trolier may in his discretion, in the event of such closing, tender to said Corporation the appointment as re- ceiver or liquidator of such Build- ing and Loan Association or Fed- eral Savings and Loan Association, and if the Corporation accepts such appointment, the Corporation shall have and possess all the powers and privileges provided by the laws of this State with respect to a receiver or liquidator respectively of a Build- ing and Loan Association or Federal Savings and Loan Association, its members. shareholders and other creditor: Sec. 2. Whenever any Building and Loan Association or Federal Savings and Loan Association shall have been closed as aforesaid, and id Federal Savings and Loan In- surance Corporation shall pay or make available for payment the in- sured shares, saving shares or in- vestment shares, said Corporation, whether or not it shall become re- ceiver or liquidator of such closed Building and Loan Association or Federal Savings and Loan Associa- tion. as herein provided, shall be and become subrogated by operation of law to all rights against such closed Building and Loan Associa- tion or Federal Savings and Loan Association of each owner of the claim for shares, saving shares or investment shares to the extent now or hereafter necessary to enable the said Federal Savings and Loan In- surance Corporation, under Federal law to make insurance payments available to the members or share- holders of a closed insured Building and Loan Association or Federal Savings and Loan Association Sec. 3. All laws or parts of laws in conflict herewith are hereby re- bealed. Sec. 4. This Act shall take effect immediately upon becoming a law. Approved by the Governor May 20. 1939. CHAPTER 19110 AN ACT To Amend Section 3 of Chapter 15908 of the Laws of Flor- ida of 1933 as Amended by Chapter 16844 of the Laws of Florida of 1935 Relating to the Business, Operation, Supervision and Liquidation of Building and Loan Associations. Be It Enacted by the Legislature of The State of Florida: Sec. 1. That Section 3 of Chapter 15908 of the Laws of Florida of 1933 as amended by Chapter 16844 of the Laws of Florida of 1935 be, and the same is, hereby amended to read as follows: Sec. 3. First: Aay Association shall have power to loan or advance to stockholders or members thereof money of the association, including money paid for capital stock as pro- vided in Section 6155, Compiled Gen- eral Laws of Florida, 1927, as amend. ed and to secure payment of such money and the performance of all of the conditions upon which the loans are made by pledge of shares in said Association, and or by note, or bond, and mortgage on real es- tate situated in the State of Florida, owned in fee by the borrower, which mortgage shall be a first lien there- on, except taxes and special assess- ments, and except the prior liens held and owned by said Association, provided, however, that nothing herein shall be construed to pro- hibit any Association from accepting additional collateral of any char- acter as additional security for the payment of a loan previously con- summated: to loan funds of the As- sociation (except that portion of its authorized capital stock specified in Section 6155, of the Compiled Gen- eral Laws of Florida, 1927 as am- ended), upon the pledge of the shares only of such Association, provided. that loans on stock shali hot exceed ninety per cent of the withdrawal value of stock at the time>it is pledged. All such in. debtedness, notes and bonds, shares of stock and mortgages securing the repayment of such indebtedness, notes and bonds shall be exempt from the provisions of Chapters 15787 and 15789, Laws of Florida, 1931, and any laws superseding same Or amendatory thereof . Second. The by-laws of each As- sociation shall prescribe the manner of awarding loans, the rate of in- terest and the premium to be charg- ed and the time and manner in which the interest and premium, if any, shall be paid. No such Asso- ciation is required to maintain uni- formity among loans made by it with respect to rates of interest, maturity or principal, plan of repayment, amount and time of payment of in- stallments upon principal, and oth- er terms, provisions and conditions of such loans and the contract evi- dencing them, but may, when autho- rized by its’ by-laws,’ make loans with differences between them with respect to rates of interest, maturity of principal, plan of repayment, amount and time of payment of in- stallments upon principal, and oth- er terms, provisions and’ conditions of such loans and the contracts evidencing them, and is authorized to make loans at such rate of in- terest and with such maturity of principal, such plan of repayment such amount and time of payment of instaliments upon principal, and such other terms, provisions and conditions of such loans and the contracts evidencing them, as its by laws, may prescribe, provided, all loans shall conform to all re- quirements of law with respect to the character. extent and ue of the security therefor. Third. No Building and Loan As- sociation shall make any loan either directly or indirectly to any of its officers. directors or employees, pro- vided, however, that loans may be made to an officer. director or em- ployee, if secured’ by a mortgage upon his home or by an assignment of the stock owned by him in the Association. Loans made to officers, directors or employees, secured by assignment of stock, shall not ¢ ceed ninety (90%) per cent of the withdrawal value of the stock at the time the loan is made. Fourth. Building and Loan As- sociations shall lend their funds only on the security of their own shares or on the security of first liens upon homes or combination homes and business property provided, how- ever. that not more than $20,000.00 shall be loaned on the security of a first lien upon any one such prop- erty, except that not exceeding 15’ of the assets of such Association may be loaned on other improved real estate. without regard to said $20,000.60 limitation and without, re- gard to said fifty mile limit, but se- cured by first lien thereon. Fifth. In case there is not suffi cient demand for loans on the part of stockholders *on real estate mort- gages or the stock of the Associa- tion. which are acceptable to the board of directors., any Association shall have the power to lend its funds upon or purchase first mort- gages upon improved real estate, provided, the loans secured by the mortgage purchased or accepted as collateral does not exceed 70% of the fair value of the real estate mortgaged, and also to lend its funds upon or invest in the obligations of the United States. State of Florida, any County or Municipality of the State of Florida, any Federal Home Loan Bank or the Home Owners’ Loan Corporation. and aiso to lend its funds upon or purchase the stock or promissory notes of any other domestic Building and Loan Asso- ciation, or invest in the saving shares or investment shares of Fed- eral Savings and Loan Association, doing business in the State of Flor- di: Sixth, Upon the approval of the