By: Munoz H.B. No. 973
73R4418 SOS-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the establishment of credit in the Employees Retirement
1-3 System of Texas for certain military service.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 813.301, Government Code, is amended by
1-6 amending Subsection (a) and adding Subsection (c) to read as
1-7 follows:
1-8 (a) Military service creditable in the retirement system is:
1-9 (1) active federal duty as a member of the armed
1-10 forces of the United States;
1-11 (2) service as a member of the Texas National Guard;
1-12 or
1-13 (3) service in any of the reserve components of the
1-14 armed forces of the United States.
1-15 (c) Service is creditable under this section for active
1-16 federal duty as a member of the armed forces of the United States
1-17 at the rate of one month of service credit for each month of that
1-18 service. Service is creditable under this section for service as a
1-19 member of the Texas National Guard or service in any of the reserve
1-20 components of the armed forces of the United States at the rate of
1-21 one month of service credit for each three months of that service.
1-22 SECTION 2. Section 813.302(c), Government Code, is amended
1-23 to read as follows:
1-24 (c) A member may establish credit under this section by
2-1 depositing with the retirement system in a lump sum or in the
2-2 manner provided by Section 813.3021 a contribution computed as
2-3 provided by Section 813.404 or 813.505, plus, if the member does
2-4 not establish the credit before the first anniversary of the date
2-5 of first eligibility, interest computed on the basis of the state
2-6 fiscal year at an annual rate of 10 percent from the date of first
2-7 eligibility to the date of deposit.
2-8 SECTION 3. Subchapter D, Chapter 813, Government Code, is
2-9 amended by adding Section 813.3021 to read as follows:
2-10 Sec. 813.3021. Alternative Payments to Establish Military
2-11 Service Credit. (a) A member may establish military service
2-12 creditable in the retirement system by making payments as provided
2-13 by this section in lieu of lump-sum payments required by Section
2-14 813.302.
2-15 (b) A payment authorized by this section consists of the
2-16 contribution required to establish at least one year of service
2-17 credit, including any required interest, except that a person's
2-18 last in a series of payments under this section may be for a period
2-19 of remaining service that is less than one year.
2-20 (c) A person who establishes service credit under this
2-21 section must purchase the oldest service first.
2-22 (d) The retirement system shall grant the applicable amount
2-23 of service credit after each payment is made under this section.
2-24 (e) Payments may not be made under this section to establish
2-25 service credit of a person who has retired or died.
2-26 (f) The retirement system may adopt rules to administer this
2-27 section.
3-1 SECTION 4. Section 813.505(b), Government Code, is amended
3-2 to read as follows:
3-3 (b) A member claiming credit in the employee class for
3-4 military service not previously established shall, for each month
3-5 of the creditable service, pay a contribution in an amount equal to
3-6 the greater of:
3-7 (1) the amount that the member contributed for the
3-8 first full month of membership service that is after the member's
3-9 date of release from active military duty and that is credited in
3-10 the retirement system; or
3-11 (2) $18.
3-12 SECTION 5. The importance of this legislation and the
3-13 crowded condition of the calendars in both houses create an
3-14 emergency and an imperative public necessity that the
3-15 constitutional rule requiring bills to be read on three several
3-16 days in each house be suspended, and this rule is hereby suspended,
3-17 and that this Act take effect and be in force from and after its
3-18 passage, and it is so enacted.