THE BILL ITSELF
SB 1018
Deferred Compensation Plans for Public Employees
Florida Senate - 2026 SB 1018 By Senator Truenow 13-01050A-26 20261018__
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A bill to be entitled
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An act relating to deferred compensation plans for
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public employees; providing a short title; amending s.
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112.215, F.S.; authorizing the inclusion of an
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automatic enrollment arrangement in a government
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employee’s deferred compensation plan; requiring that
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the automatic enrollment arrangement be established
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with a default contribution rate; authorizing the
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periodic reenrollment of specified government
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employees; authorizing the periodic resetting of
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contribution rates for specified government employees;
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requiring that the automatic enrollment arrangement
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provide employees the ability to make certain
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elections regarding contributions; requiring that the
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plan provide for a default investment into which
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contributions must be placed under a specified
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circumstance; authorizing counties, municipalities,
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political subdivisions, and constitutional county
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officers to adopt automatic enrollment arrangements
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for specified deferred compensation programs;
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providing that the deferred compensation plan of the
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state may adopt an automatic enrollment arrangement
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only upon the approval of the Legislature; amending
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ss. 110.114 and 112.171, F.S.; requiring that a
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certain deduction of the wages or salary of employees
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be treated in a specified manner; providing an
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effective date.
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Be It Enacted by the Legislature of the State of Florida:
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Section 1. This act may be cited as the “Deferred
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Compensation Automatic Enrollment Act.”
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Section 2. Subsection (3) of section 112.215, Florida
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Statutes, is amended to read:
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112.215 Government employees; deferred compensation
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program.—
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(3) (a) In accordance with a plan of deferred compensation
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which has been approved as herein provided, the state or any
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state agency, county, municipality, other political subdivision,
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or constitutional county officer may, by contract or a
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collective bargaining agreement, agree with any employee to
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defer all or any portion of that employee’s otherwise payable
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compensation and, pursuant to the terms of such approved plan
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and in such proportions as may be designated or directed under
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that plan, place such deferred compensation in savings accounts
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or use the same to purchase fixed or variable life insurance or
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annuity contracts, securities, evidence of indebtedness, or such
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other investment products as may have been approved for the
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purposes of carrying out the objectives of such plan. Such
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insurance, annuity, savings, or investment products must shall
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be underwritten and offered in compliance with the applicable
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federal and state laws and regulations by persons who are duly
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authorized by the applicable state and federal authorities.
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(b) Such plan of deferred compensation may include an
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automatic enrollment arrangement under which a government
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employee’s otherwise payable compensation is deducted and
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contributed to the plan unless the government employee elects
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not to contribute or elects to contribute a different rate or
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amount. Such automatic enrollment arrangement must establish a
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default contribution rate, may provide for the periodic
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reenrollment of government employees eligible but not
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participating in the plan, and may allow the periodic resetting
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of contribution rates for government employees contributing at
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rates lower than those established by the automatic enrollment
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arrangement.
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(c) An automatic enrollment arrangement must provide that a
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government employee may, at any time, elect not to contribute to
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the plan or may elect to contribute to the plan at a different
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rate or amount than the default rate.
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(d) If a deferred compensation plan includes an automatic
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enrollment arrangement, the plan must provide for a default
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investment into which contributions must be placed in the
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absence of an election from the government employee.
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(e) Any county, municipality, or other political
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subdivision of the state may by ordinance, and any
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constitutional county officer under s. 1(d), Art. VIII of the
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State Constitution may by contract agreement or other
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documentation constituting approval, adopt an automatic
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enrollment arrangement for its own deferred compensation
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program. Notwithstanding subsection (4), the deferred
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compensation plan of the state may adopt an automatic enrollment
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arrangement only upon the approval of the Legislature and not
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pursuant to the authority of the Chief Financial Officer.
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Section 3. Subsection (1) of section 110.114, Florida
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Statutes, is amended to read:
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110.114 Employee wage deductions.—
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(1) The state or any of its departments, bureaus,
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commissions, and officers are authorized and permitted, with the
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concurrence of the Department of Financial Services, to make
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deductions from the salary or wage of any employee or employees
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in such amount as shall be authorized and requested by such
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employee or employees and for such purpose as shall be
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authorized and requested by such employee or employees and shall
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pay such sums so deducted as directed by such employee or
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employees. Deduction of the salary or wage of an employee as
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authorized by an automatic enrollment arrangement pursuant to s.
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112.215(3)(c) must be treated as authorized and requested by
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such employee for purposes of this subsection. The concurrence
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of the Department of Financial Services may shall not be
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required for the deduction of a certified bargaining agent’s
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membership dues deductions pursuant to s. 447.303 or any
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deductions authorized by a collective bargaining agreement.
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Section 4. Subsection (1) of section 112.171, Florida
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Statutes, is amended to read:
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112.171 Employee wage deductions.—
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(1) The counties, municipalities, and special districts of
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the state and the departments, agencies, bureaus, commissions,
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and officers thereof are authorized and permitted in their sole
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discretion to make deductions from the salary or wage of any
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employee or employees in such amount as shall be authorized and
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requested by such employee or employees and for such purpose as
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shall be authorized and requested by such employee or employees
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and shall pay such sums so deducted as directed by such employee
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or employees. Deduction of the salary or wage of an employee as
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authorized by an automatic enrollment arrangement pursuant to s.
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112.215(3)(c) must be treated as authorized and requested by
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such employee for purposes of this subsection.
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Section 5. This act shall take effect July 1, 2026.