1-1 By: Barrientos S.B. No. 1209
1-2 (In the Senate - Filed March 12, 1997; March 17, 1997, read
1-3 first time and referred to Committee on Intergovernmental
1-4 Relations; April 11, 1997, reported adversely, with favorable
1-5 Committee Substitute by the following vote: Yeas 11, Nays 0;
1-6 April 11, 1997, sent to printer.)
1-7 COMMITTEE SUBSTITUTE FOR S.B. No. 1209 By: Shapiro
1-8 A BILL TO BE ENTITLED
1-9 AN ACT
1-10 relating to participation in the proportionate retirement program
1-11 for public employees.
1-12 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-13 SECTION 1. Section 803.0021, Government Code, is amended to
1-14 read as follows:
1-15 Sec. 803.0021. APPLICATION OF CHAPTER. This chapter applies
1-16 only to:
1-17 (1) a retirement system for general municipal
1-18 employees in a municipality with a population of not less than
1-19 460,000 nor more than 500,000; [and]
1-20 (2) the Employees Retirement System of Texas, the
1-21 Teacher Retirement System of Texas, the Judicial Retirement System
1-22 of Texas Plan One, the Judicial Retirement System of Texas Plan
1-23 Two, the Texas County and District Retirement System, and the Texas
1-24 Municipal Retirement System; and
1-25 (3) a retirement system that makes an election under
1-26 Section 803.101(f).
1-27 SECTION 2. Section 803.101, Government Code, is amended by
1-28 amending Subsection (a) and adding Subsection (f) to read as
1-29 follows:
1-30 (a) Except as provided by Subsections [Subsection] (b) and
1-31 (f), each retirement system to which this chapter applies is
1-32 required to participate in the program of proportionate retirement
1-33 benefits provided by this chapter.
1-34 (f) The governing body of a public retirement system in this
1-35 state for general municipal employees that is a qualified plan
1-36 under Section 401(a) of the Internal Revenue Code of 1986 (26
1-37 U.S.C. Section 401) and that is in a municipality with a population
1-38 of not less than 55,000 may elect to participate in the
1-39 proportionate retirement program by adopting a resolution to that
1-40 effect. A resolution may not be adopted under this subsection
1-41 without the approval of the governing body of the municipality that
1-42 finances the retirement system. The governing body of the
1-43 retirement system shall notify all other participating retirement
1-44 systems of the election. The effective date of participation in
1-45 the proportionate retirement program by a retirement system for
1-46 which an election is made under this subsection is the first day of
1-47 the third month after the month in which notice is given under this
1-48 subsection.
1-49 SECTION 3. Section 803.103, Government Code, is amended to
1-50 read as follows:
1-51 Sec. 803.103. LIMITATION OF PARTICIPATION BY RETIREMENT
1-52 SYSTEMS. (a) Participation in the proportionate retirement
1-53 program by a subdivision participating in the Texas County and
1-54 District Retirement System or a municipality participating in the
1-55 Texas Municipal Retirement System does not include participation
1-56 with a retirement system described by Section 803.0021(3)
1-57 [803.0021(1)] if the subdivision or municipality elects [has
1-58 elected] to so limit its participation and has not revoked the
1-59 election under Subsection (b).
1-60 (b) A subdivision or municipality that has elected to limit
1-61 its participation in the proportionate retirement program may
1-62 revoke the election and remove the limitation on participation.
1-63 (c) An election under this section [subsection] may be made
1-64 by vote of the governing body of the subdivision or municipality in
2-1 the manner required for official actions of the governing body.
2-2 The governing body shall send notice of an election under this
2-3 subsection to the board of trustees of the retirement system in
2-4 which the subdivision or municipality participates. An election
2-5 under Subsection (a) must be filed before the effective date of a
2-6 public retirement system's participation in the program, as
2-7 provided by Section 803.101(f), or the right of election under
2-8 Subsection (a) is waived.
2-9 (d) [(c)] The effective date of a removal of a limitation on
2-10 participation in the proportionate retirement program by a
2-11 subdivision or municipality electing under Subsection (b) is the
2-12 first day of the month after the month in which the appropriate
2-13 board of trustees receives notice of the election.
2-14 SECTION 4. This Act takes effect September 1, 1997.
2-15 SECTION 5. The importance of this legislation and the
2-16 crowded condition of the calendars in both houses create an
2-17 emergency and an imperative public necessity that the
2-18 constitutional rule requiring bills to be read on three several
2-19 days in each house be suspended, and this rule is hereby suspended.
2-20 * * * * *