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A BILL TO BE ENTITLED
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AN ACT
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relating to employer contributions for retirees of the Teacher |
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Retirement System of Texas who resume certain employment with a |
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public school. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 825.4092, Government Code, is amended by |
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amending Subsection (b) and adding Subsection (b-1) to read as |
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follows: |
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(b) Except as provided by Subsection (e) and subject to |
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Subsection (b-1), during each payroll period for which a retiree is |
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reported, the employer shall contribute to the retirement system |
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for each retiree reported an amount based on the retiree's salary |
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equal to the difference between [sum of]: |
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(1) the sum of: |
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(A) the current contribution amount that would be |
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contributed by the retiree if the retiree were an active, |
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contributing member; and |
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(B) [(2)] the current contribution amount |
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authorized by the General Appropriations Act that the state would |
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contribute for that retiree if the retiree were an active, |
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contributing member; and |
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(2) as determined by the actuary of the retirement |
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system, an amount equal to a percentage of the retiree's |
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compensation attributable to the payroll period where the |
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percentage is the estimated normal cost of the retirement system |
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for the current year expressed as a percentage of aggregate annual |
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compensation of all members of the retirement system. |
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(b-1) Subsection (b) applies only if the amount under |
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Subsection (b)(1) exceeds the amount under Subsection (b)(2). If |
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during a payroll period the amount under Subsection (b)(2) exceeds |
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the amount under Subsection (b)(1), the employer is not required to |
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make a contribution under Subsection (b). |
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SECTION 2. The changes in law made by this Act apply |
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beginning with the 2025-2026 school year. |
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SECTION 3. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2025. |