By: Brown S.B. No. 437
A BILL TO BE ENTITLED
AN ACT
1-1 relating to retirement eligibility and benefits for certain members
1-2 of the Teacher Retirement System of Texas.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subchapter C, Chapter 824, Government Code, is
1-5 amended by adding Section 824.2021 to read as follows:
1-6 Sec. 824.2021. TEMPORARY ELIGIBILITY FOR SERVICE RETIREMENT.
1-7 (a) A member is eligible to retire and receive a service
1-8 retirement annuity if the member's age increased by five years and
1-9 the member's service credit increased by five years would entitle
1-10 the member to retire under Section 824.202, except that a member
1-11 must have actual membership service credit of at least 10 years in
1-12 order to retire and receive a service retirement annuity under this
1-13 section.
1-14 (b) Except as provided by this subsection, the computation
1-15 of a service retirement annuity for a member who retires while this
1-16 section is in effect shall be made in the manner provided by this
1-17 subchapter or other standard or optional service retirement
1-18 annuities, as applicable. The member's standard service retirement
1-19 annuity shall be computed under Section 824.203 on the basis of the
1-20 amount of the member's actual service credit plus five years,
1-21 except that the addition to the member's service credit may not be
1-22 used in determining the member's average annual compensation and
1-23 the total service credit used in the computation may not exceed 50
2-1 years. Annuity reductions under Section 824.202(b), (c), or (d)
2-2 shall be applied and computed as if the retiring member were five
2-3 years older than the member's actual age and had service credit of
2-4 five years more than the amount for which the member actually has
2-5 credit in the retirement system. An optional annuity selected
2-6 under Section 824.204 shall be actuarially reduced, using the
2-7 retiring member's actual age, from the annuity computed as provided
2-8 by this subsection.
2-9 (c) This section does not apply in determining eligibility
2-10 for or the amount of disability retirement or death benefit options
2-11 authorized by this subtitle.
2-12 (d) A member eligible for an unreduced standard service
2-13 retirement annuity under this section shall not be eligible for
2-14 disability retirement.
2-15 (e) Actuarial tables adopted by the board of trustees for
2-16 determining the reserves necessary to pay benefits for members
2-17 retiring under this section shall be applied based on the retiring
2-18 member's actual age.
2-19 (f) This section applies to retirements occurring on or
2-20 after May 31, 1994, and expires August 31, 1994.
2-21 SECTION 2. Should the board of trustees of the Teacher
2-22 Retirement System of Texas determine that, in order to administer
2-23 the provisions of Section 824.2021, Government Code, as added by
2-24 this Act, overtime work is required of the retirement system's
2-25 employees who are exempt from the overtime provisions of the Fair
3-1 Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.), the
3-2 board of trustees may authorize the payment of overtime pay to
3-3 these employees or permit employees to carry the compensatory time
3-4 earned by such overtime work for such period of time as may be
3-5 determined by the board of trustees.
3-6 SECTION 3. This Act takes effect September 1, 1993.
3-7 SECTION 4. The importance of this legislation and the
3-8 crowded condition of the calendars in both houses create an
3-9 emergency and an imperative public necessity that the
3-10 constitutional rule requiring bills to be read on three several
3-11 days in each house be suspended, and this rule is hereby suspended.