| |
|
|
A BILL TO BE ENTITLED
|
|
|
AN ACT
|
|
|
relating to a cost-of-living adjustment applicable to certain |
|
|
benefits paid by the Employees Retirement System of Texas and a |
|
|
biennial study on providing additional adjustments based on the |
|
|
effects of increased inflation. |
|
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
|
SECTION 1. Subchapter G, Chapter 814, Government Code, is |
|
|
amended by adding Section 814.605 to read as follows: |
|
|
Sec. 814.605. ONE-TIME ADJUSTMENT TO BENEFITS. (a) The |
|
|
amount of a monthly service retirement benefit, disability |
|
|
retirement benefit, or death benefit paid under this chapter to a |
|
|
retiree or beneficiary for service credited in the employee class |
|
|
is increased to include a one-time 10 percent adjustment in |
|
|
accordance with this section. |
|
|
(b) The board of trustees shall recompute the amount of a |
|
|
benefit paid monthly under this chapter by applying the 10 percent |
|
|
adjustment to the monthly amount otherwise required to be paid as |
|
|
determined in accordance with this chapter. |
|
|
SECTION 2. Subchapter F, Chapter 815, Government Code, is |
|
|
amended by adding Section 815.5105 to read as follows: |
|
|
Sec. 815.5105. BIENNIAL STUDY AND REPORT ON PROVIDING |
|
|
ADDITIONAL COST-OF-LIVING ADJUSTMENTS BASED ON EFFECTS OF |
|
|
INFLATION. Not later than January 1 of each odd-numbered year, the |
|
|
retirement system shall: |
|
|
(1) conduct a study to evaluate and identify the |
|
|
effects, if any, that increased inflation has had on annuitants of |
|
|
the system: |
|
|
(A) during the preceding state fiscal biennium; |
|
|
and |
|
|
(B) if applicable, since annuitants last |
|
|
received a cost-of-living adjustment; and |
|
|
(2) submit a written report to the legislature |
|
|
containing: |
|
|
(A) findings of the study; and |
|
|
(B) if appropriate, recommendations for |
|
|
potential legislation to address any adverse effects of inflation |
|
|
identified under Subdivision (1), including specific |
|
|
recommendations regarding whether and in what amount the |
|
|
legislature would need to provide a cost-of-living adjustment to |
|
|
the benefits of annuitants to remedy those effects. |
|
|
SECTION 3. Section 814.604, Government Code, is repealed. |
|
|
SECTION 4. Section 814.605, Government Code, as added by |
|
|
this Act, applies only to a monthly benefit payment made by the |
|
|
Employees Retirement System of Texas on or after September 1, 2024. |
|
|
SECTION 5. This Act takes effect on the 91st day after the |
|
|
last day of the legislative session. |