RESOLUTION ANALYSIS

S.J.R. 57

By: Huffman

Pensions, Investments & Financial Services

Committee Report (Unamended)

BACKGROUND AND PURPOSE

Currently, there is no constitutional prohibition on "bailing out" a local retirement system or infusing a local retirement system with cash. S.J.R. 57 seeks to create that prohibition and signal that local retirement system obligations are the sole responsibility of the applicable local government by proposing a constitutional amendment to establish that the state is not liable for any debts or other obligations of a local retirement system and to prohibit the legislature from appropriating money to a local retirement system to pay for such debts or obligations.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this resolution does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this resolution does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

S.J.R. 57 proposes an amendment to the Texas Constitution to establish that the state is not liable for any debts or other obligations of a local retirement system. The resolution prohibits the legislature from appropriating money to such a retirement system to pay any debts or other obligations of the retirement system.

ELECTION DATE

The constitutional amendment proposed by this joint resolution will be submitted to the voters at an election to be held November 4, 2025.