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AN ACT
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relating to the Judicial Retirement System Plan Two, including |
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resuming service in the retirement system and contributions to the |
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retirement system. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 837.102(a), Government Code, is amended |
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to read as follows: |
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(a) A retiree who resumes service as a judicial officer |
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other than by assignment described in Section 837.101 may not |
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rejoin or receive credit in the retirement system for the resumed |
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service, except [unless an election is made] as provided by Section |
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837.103. |
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SECTION 2. Section 837.103, Government Code, is amended by |
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amending Subsections (b) and (c) and adding Subsections (b-1), |
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(b-2), (c-1), and (c-2) to read as follows: |
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(b) Notwithstanding Sections 837.001(c) and 837.002(2) and |
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subject to the requirements of this section [Subsection (d)], a |
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retiree who resumes full-time service as a judicial officer other |
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than by assignment described in Section 837.101 [described by |
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Section 837.102(a)] may elect to rejoin the retirement system as a |
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member [and receive service credit in the system for resuming |
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service as a judicial officer] if, before taking the oath of office, |
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the retiree has been separated from judicial service for at least |
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six full consecutive months. |
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(b-1) The retiree shall provide notice of an [the] election |
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to rejoin the retirement system under this section: |
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(1) not later than the 60th day after the date the |
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retiree takes the oath of office; and |
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(2) in the form and manner prescribed by the system. |
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(b-2) A person who rejoins the retirement system under this |
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section shall resume making member contributions at the rate of 9.5 |
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percent of the person's state compensation. |
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(c) For a person who rejoins the retirement system [makes an |
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election] under this section and completes at least 24 months of |
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resumed judicial service, on the person's subsequent retirement |
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from resumed service [the resumption of annuity payments that have |
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been suspended under Section 837.102], the retirement system shall |
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recompute the annuity selected at the time of the person's original |
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retirement to reflect: |
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(1) the highest annual state salary earned by the |
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person while holding a judicial office included within the |
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membership of the retirement system; and |
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(2) [to include] the [person's] additional service |
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credit established during the person's period of resumed service |
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[membership under this section]. |
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(c-1) For a person who rejoins the retirement system under |
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this section but who does not complete at least 24 months of resumed |
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service, on the person's subsequent retirement from resumed |
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service, the retirement system shall: |
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(1) resume annuity payments suspended under Section |
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837.102; and |
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(2) issue the person a refund of the person's |
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accumulated member contributions made during the person's period of |
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resumed service. |
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(c-2) If, at the time of the person's original retirement, a |
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[the] person described by Subsection (c) or (c-1) selected an |
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optional retirement annuity payable under Section 839.103(a)(3) or |
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(4), the retirement system shall reduce the number of months of |
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payments by the number of months for which the annuity was paid |
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before the person resumed service. |
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SECTION 3. Section 840.1025(b), Government Code, is amended |
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to read as follows: |
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(b) A member who elects to make contributions under |
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Subsection (a) shall contribute 9.5 [six] percent of the member's |
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state compensation for each payroll period in the manner provided |
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by Sections 840.102(b)-(f). |
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SECTION 4. Section 840.1027(b), Government Code, is amended |
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to read as follows: |
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(b) A member who elects to make contributions under |
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Subsection (a) shall contribute 9.5 [six] percent of the member's |
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state compensation for each payroll period in the manner provided |
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by Sections 840.102(b)-(f). |
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SECTION 5. Section 837.103(e), Government Code, is |
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repealed. |
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SECTION 6. (a) Except as provided by Subsection (c) of this |
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section, Sections 837.102 and 837.103, Government Code, as amended |
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by this Act, apply only to: |
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(1) a former retiree of the Judicial Retirement System |
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of Texas Plan Two who, on the effective date of this Act, holds a |
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judicial office and has resumed membership in the retirement |
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system; or |
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(2) a retiree who, on or after the effective date of |
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this Act, resumes service as a judicial officer holding a judicial |
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office included in the membership of the retirement system. |
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(b) A person described by Subsection (a)(1) of this section |
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may purchase service credit for resumed judicial service performed |
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before the effective date of this Act, including service performed |
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before June 18, 2023, by depositing with the Judicial Retirement |
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System of Texas Plan Two, for each month of service credit, member |
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contributions calculated by multiplying 9.5 percent by the person's |
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monthly judicial state salary on the effective date of this Act. |
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Not later than September 1, 2027, the person must purchase service |
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credit under this subsection and make the required deposits. |
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(c) Section 837.103(b-1)(1), Government Code, as added by |
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this Act, applies only to an election to rejoin the Judicial |
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Retirement System of Texas Plan Two under Section 837.103, |
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Government Code, made on or after the effective date of this Act. |
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SECTION 7. Section 5 of this Act takes effect immediately if |
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this Act receives a vote of two-thirds of all the members elected to |
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each house, as provided by Section 39, Article III, Texas |
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Constitution. If this Act does not receive the vote necessary for |
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immediate effect, Section 5 has no effect. |
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SECTION 8. Except as otherwise provided by this Act, this |
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Act takes effect September 1, 2025. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I hereby certify that S.B. No. 1738 passed the Senate on |
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April 2, 2025, by the following vote: Yeas 31, Nays 0. |
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______________________________ |
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Secretary of the Senate |
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I hereby certify that S.B. No. 1738 passed the House on |
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April 30, 2025, by the following vote: Yeas 141, Nays 0, two |
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present not voting. |
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______________________________ |
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Chief Clerk of the House |
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Approved: |
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______________________________ |
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Date |
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______________________________ |
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Governor |