By: Harris, Ike S.B. No. 241
73R2623 SOS-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to contributions to and benefits from the Judicial
1-3 Retirement System of Texas Plan Two.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 838.102, Government Code, is amended to
1-6 read as follows:
1-7 Sec. 838.102. SERVICE CREDIT PREVIOUSLY CANCELED. If a
1-8 person who has withdrawn contributions to the retirement system and
1-9 canceled service credit under Section 837.003 subsequently rejoins
1-10 the retirement system, the member may not become eligible for
1-11 retirement benefits from the retirement system unless the person
1-12 redeposits with the system the amount withdrawn<, plus all
1-13 membership fees due, plus interest computed on the basis of the
1-14 state fiscal year at an annual rate of five percent from the date
1-15 of withdrawal to the date of redeposit>. Payment under this
1-16 section reestablishes the service credit canceled by the refund.
1-17 SECTION 2. Section 839.101(a), Government Code, is amended
1-18 to read as follows:
1-19 (a) A member is eligible to retire and receive a service
1-20 retirement annuity if the member:
1-21 (1) is at least 65 years old, currently holds a
1-22 judicial office, and has at least 10 years of service credited in
1-23 the retirement system, the most recently performed of which was for
1-24 a continuous period of at least one year;
2-1 (2) is at least 65 years old and has at least 12 years
2-2 of service, continuous or otherwise, credited in the retirement
2-3 system, regardless of whether the member currently holds a judicial
2-4 office; or
2-5 (3) has at least 20 <25> years of service credited in
2-6 the retirement system, the most recently performed of which was for
2-7 a continuous period of at least 10 years, regardless of whether the
2-8 member currently holds a judicial office.
2-9 SECTION 3. Section 839.102, Government Code, is amended to
2-10 read as follows:
2-11 Sec. 839.102. SERVICE RETIREMENT ANNUITY. (a) Except as
2-12 provided by Subsections (b) and (c), the standard service
2-13 retirement annuity is an amount equal to 50 percent of the state
2-14 salary, as adjusted from time to time, being paid a judge of a
2-15 court of the same classification as the court on which the retiree
2-16 last served before retirement <computed on the basis of the
2-17 member's average monthly compensation for the 36 highest months of
2-18 compensation during the last 60 months of service, multiplied by
2-19 one-twelfth of three percent for each month of service that is
2-20 credited in the retirement system>.
2-21 (b) The retirement system shall increase by 10 percent of
2-22 the amount of the applicable state salary under Subsection (a) or
2-23 (c) the annuity of a member who on the effective date of retirement
2-24 has not been out of judicial office for more than one year <The
2-25 standard service retirement annuity may not be more than 60 percent
2-26 of the average monthly compensation computed under Subsection (a)>.
2-27 (c) The standard service retirement annuity of a person
3-1 qualifying for retirement under Section 839.101(b) is an amount
3-2 computed as a percentage of the state salary, as adjusted from time
3-3 to time, being paid a judge of a court of the same classification
3-4 as the court on which the retiree last served before retirement,
3-5 according to the following schedule:
3-6 age at retirement percentage of state salary
3-7 at least 60 but less than 61 40 percent
3-8 at least 61 but less than 62 41.7 percent
3-9 at least 62 but less than 63 43.6 percent
3-10 at least 63 but less than 64 45.6 percent
3-11 at least 64 but less than 65 47.7 percent
3-12 <as provided by Subsection (a), reduced by one-third of one percent
3-13 for each whole or partial calendar month that occurs during the
3-14 period from the date of retirement to the date of the retiree's
3-15 65th birthday, including the months that contain the dates of
3-16 retirement and birthday>.
3-17 SECTION 4. Section 840.306(a), Government Code, is amended
3-18 to read as follows:
3-19 (a) Interest on money in a member's individual account in
3-20 the retirement system is earned monthly and is computed at the rate
3-21 of 10 <five> percent a year on the mean balance of the member's
3-22 account for the fiscal year.
3-23 SECTION 5. Section 837.003(d), Government Code, is repealed.
3-24 SECTION 6. This Act takes effect September 1, 1993, and
3-25 applies only to the rate of interest that accrues on or after that
3-26 date on accumulated contributions in the Judicial Retirement System
3-27 of Texas Plan Two. Interest that accrued before September 1, 1993,
4-1 on accumulated contributions in the Judicial Retirement System of
4-2 Texas Plan Two is governed by the rate in effect at the time the
4-3 interest accrued, and the former law is continued in effect for
4-4 this purpose only.
4-5 SECTION 7. The importance of this legislation and the
4-6 crowded condition of the calendars in both houses create an
4-7 emergency and an imperative public necessity that the
4-8 constitutional rule requiring bills to be read on three several
4-9 days in each house be suspended, and this rule is hereby suspended.