Palm Beach State College Board Policy

Title: Employee Benefit Plans

Policy Number: 6Hx-18-5.14

Legal Authority: 1001.64 FS, 1001.65 FS, 121.051 FS,  121.052 FS, 121.021 FS, 1012.87 FS, 110.123 FS

Date Adopted/Amended: Formerly P021.00;  Readopted 2/27/1975; Amended 2/20/1977, 7/26/1979, 6/17/1981, 9/18/1985, 8/19/1987, 6/19/2001, 10/14/2008, 6/20/2023, 11/19/2024

 

The College provides various retirement plans, insurance coverages, and benefit plans/programs to eligible employees as part of its total rewards strategy. The College reserves the right to add, cancel or amend these offerings as necessary.

Details regarding College plans, coverages, and other provisions are contained within the corresponding plan documents, insurance policies, insurance certificates, and vendor agreements, which are available in the Office of Human Resources.

State Retirement Plans

Employees in regular and fixed-term full-time or part-time positions are required to become members of the Florida Retirement System (FRS).

Employees in regular and fixed term full-time instructional or administrator positions may also choose the State College System Optional Retirement Plan (ORP).

Employees in senior management positions as validated by FRS may opt out of the FRS to enroll in the College’s local annuity option.

Temporary employees may become enrolled after 6 calendar months or 2,080 hours. Positions exempted from FRS eligibility include, but are not limited to, adjuncts, tutors, substitutes, graders, proctors, student positions, interns, and others in compliance with FRS provisions.

Contribution rates for the FRS and ORP are set by the legislature. Contribution rates for the local annuity are set by the College.


College Retirement Plans

FICA Alternative Plan - All temporary employees are mandatory participants in the FICA alternative plan. As part of the plan, social security contributions are not deducted from employees nor contributed by the College.

Special Pay Plan – All DROP time off payments and separation payments are subject to the College’s special pay plan provisions except payments made due to the death of the employee.

Voluntary Retirement Plans – The College provides multiple 403(b) and 457 tax-deferred and tax-sheltered voluntary retirement options.  All employees, except student employees and interns, may enroll and elect up to the IRS maximum allowable contribution. Retirement planning and contribution limits are the responsibility of the individual employee.


Insurance Plans

Insurance plans, coverage levels, and premiums shall be made available to eligible employees at the time of initial eligibility.

Employees shall be notified of new insurance plans, plan modifications, premiums changes, and opportunities for changes without an IRS qualifying event during a corresponding enrollment period.

State Health and Insurance Plans
The Division of State Group Insurance (“DSGI”) oversees multiple benefit plans and insurances which are made available to eligible Florida College System employees and retirees in accordance with FS 110.123. DSGI and their vendor designees are responsible for determining eligibility, effective dates, plan design, rates, pre-and post-tax availability, appeals, applicable reporting, COBRA and retiree administration, and systems administration to provide pertinent and timely information to eligible employees.

College Benefit Plans
Employee premiums through payroll deduction shall be post-tax or pre-tax as specified in plan documents, certificates, and agreements as allowable under IRS Section 125. College contributions to the employee benefit plans shall be approved through the budget allocation process for personnel expenses and benefits.

Retiree Insurance
Eligible retirees may continue the State insurance coverage they were enrolled when separating for medical at the full cost and may port other coverages if made available by the State’s vendors. All retiree premiums are at the retiree’s own expense. Eligible retirees are defined by DSGI as:

  • Employees who retire under the provisions of the FRS Pension Plan and immediately begin receiving benefits after retirement, or
  • Retire under the FRS Investment plan, ORP, or local annuity and satisfy all of the following criteria:
    • Meet the age and service requirement to qualify for normal retirement as set forth in Florida Statute 121.021(29),
    • Has attained the age specified by Section 72(t)(2)(A)(i) of the Internal Revenue Code,
    • Has 6 years of FRS creditable service,
    • Takes a distribution immediately upon separation as allowed, and
    • “Retirement” is recorded as the reason code for separation in the online system.

A retiree unable to take a distribution from an ORP or the FRS Investment plan due to the plan provisions (typically 3 calendar months) may be offered COBRA coverage by the State and may migrate to retiree once the retiree provisions are met according to the Division of State Group Insurance rules.