By: Zaffirini S.B. No. 247
73R447 GCH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to service credit in the Teacher Retirement System of
1-3 Texas for service performed as a member of the United States Peace
1-4 Corps.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Subchapter E, Chapter 823, Government Code, is
1-7 amended by adding Section 823.404 to read as follows:
1-8 Sec. 823.404. PEACE CORPS SERVICE. (a) A member may
1-9 establish equivalent membership service credit for service
1-10 performed as a member of the United States Peace Corps.
1-11 (b) A member may establish credit under this section by
1-12 depositing with the retirement system for each year of service
1-13 claimed an amount equal to the sum of:
1-14 (1) 12 percent of the rate of the member's annual
1-15 compensation during the first full 12 months of service as a member
1-16 that is after the date the service for which credit is sought was
1-17 performed;
1-18 (2) a fee of eight percent a year, compounded
1-19 annually, of the amount determined under Subdivision (1) from the
1-20 date the service for which credit is sought was performed to the
1-21 date of deposit; and
1-22 (3) any membership fees that would have been paid had
1-23 the service for which credit is sought been performed as a member
1-24 of the retirement system.
2-1 (c) A member may not establish more than five years of
2-2 equivalent membership service credit under this section.
2-3 (d) A member must submit an application and any appropriate
2-4 documents requested by the retirement system to establish
2-5 equivalent membership service credit under this section.
2-6 (e) The retirement system may not use credit established
2-7 under this section in computing service retirement benefits until
2-8 the member has at least five years of service credit for actual
2-9 service in public schools.
2-10 (f) If credit established under this section is not used in
2-11 determining benefits, all deposits made under this section are
2-12 refundable to the member or, if applicable, the member's
2-13 beneficiary.
2-14 SECTION 2. Section 825.307(a), Government Code, is amended
2-15 to read as follows:
2-16 (a) The retirement system shall deposit in a member's
2-17 individual account in the member savings account:
2-18 (1) the amount of contributions to the retirement
2-19 system that is deducted from the member's compensation;
2-20 (2) the portion of a deposit made on or after
2-21 resumption of membership that represents the amount of retirement
2-22 benefits received;
2-23 (3) the portion of a deposit to reinstate service
2-24 credit previously canceled that represents the amount withdrawn or
2-25 refunded;
2-26 (4) the portion of a deposit to establish membership
2-27 service credit previously waived that is required by Section
3-1 823.202(b)(1);
3-2 (5) the portion of a deposit to establish membership
3-3 service credit for service performed after retirement that is
3-4 required by Section 823.502(c)(3) or (c)(5);
3-5 (6) the portion of a deposit to establish military
3-6 service credit required by Section 823.302(c);
3-7 (7) the portion of a deposit to establish equivalent
3-8 membership service credit required by Section 823.401(d), <or>
3-9 823.402(e)(1) or (e)(2), or 823.404(b)(1); and
3-10 (8) interest earned on money in the account as
3-11 provided by Subsections (b) and (c) and Section 825.313(b)(1).
3-12 SECTION 3. Section 825.308, Government Code, is amended to
3-13 read as follows:
3-14 Sec. 825.308. State Contribution Account. The retirement
3-15 system shall deposit in the state contribution account:
3-16 (1) all state contributions to the retirement system
3-17 required by Section 825.404;
3-18 (2) amounts from the interest account as provided by
3-19 Section 825.313(b)(5);
3-20 (3) retirement annuities waived or forfeited in
3-21 accordance with Section 824.601 or 824.004;
3-22 (4) fees collected under Section 825.403(h);
3-23 (5) fees and interest for reinstatement of service
3-24 credit or establishment of membership service credit as provided by
3-25 Section 823.202, 823.501, or 823.502;
3-26 (6) the portion of a deposit required by Section
3-27 823.302 to establish military service credit that represents a fee;
4-1 and
4-2 (7) the portion of a deposit required by Section
4-3 823.401(e) or 823.404(b)(2) <to establish out-of-state service
4-4 credit> that represents a fee.
4-5 SECTION 4. 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,
4-10 and that this Act take effect and be in force from and after its
4-11 passage, and it is so enacted.