1-1     By:  Craddick (Senate Sponsor - Bivins)                H.B. No. 475

 1-2           (In the Senate - Received from the House April 3, 1997;

 1-3     April 10, 1997, read first time and referred to Committee on State

 1-4     Affairs; May 6, 1997, reported favorably by the following vote:

 1-5     Yeas 13, Nays 0; May 6, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to the effect of certain types of divorce decrees on

 1-9     retirement benefits payable by the Teacher Retirement System of

1-10     Texas.

1-11           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-12           SECTION 1.  Subchapter B, Chapter 824, Government Code, is

1-13     amended by adding Section 824.1012 to read as follows:

1-14           Sec. 824.1012.  REVOCATION OF BENEFICIARY DESIGNATION FOR

1-15     CERTAIN RETIREMENT BENEFIT OPTIONS.  (a)  As an exception to

1-16     Section 824.101(c), a retiree who selected an optional service

1-17     retirement annuity under Section 824.204(c)(1), (c)(2), or (c)(5)

1-18     or an optional disability retirement annuity under Section

1-19     824.308(c)(1), (c)(2), or (c)(5) may revoke the designation of the

1-20     beneficiary to receive the annuity on the death of the retiree, if

1-21     a court in a divorce proceeding involving the retiree and

1-22     beneficiary approves or orders the revocation in the divorce decree

1-23     or acceptance of a property settlement.  The revocation takes

1-24     effect when the retirement system receives it.

1-25           (b)  A revocation described by Subsection (a)  cancels the

1-26     optional annuity selection made by the retiree, effective with the

1-27     beginning of payments of the annuity as recomputed under this

1-28     subsection.  The retiree is entitled to receive payments of a

1-29     standard service or disability retirement annuity, as applicable,

1-30     reduced for early retirement, if applicable, beginning with the

1-31     payment for the month after the month in which the retirement

1-32     system receives the notice of revocation and ending on the death of

1-33     the retiree.

1-34           (c)  The retirement system by rule may establish requirements

1-35     for forms, documentation, and procedures necessary for the

1-36     administration of this section.

1-37           SECTION 2.  The importance of this legislation and the

1-38     crowded condition of the calendars in both houses create an

1-39     emergency and an imperative public necessity that the

1-40     constitutional rule requiring bills to be read on three several

1-41     days in each house be suspended, and this rule is hereby suspended,

1-42     and that this Act take effect and be in force from and after its

1-43     passage, and it is so enacted.

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