LEGISLATIVE BUDGET BOARD
                                   Austin, Texas
         
                                   FISCAL NOTE
                               75th Regular Session
         
                                  May 12, 1997
         
         
      TO: Honorable Kenneth Armbrister, Chair            IN RE:  House Bill No. 1780, As Engrossed
          Committee on State Affairs                              By: Greenberg
          Senate
          Austin, Texas
         
         
         
         
         FROM:  John Keel, Director    
         
In response to your request for a Fiscal Note on HB1780 ( Relating 
to the purchase of service credit in the Employees Retirement 
System of Texas and the Teacher Retirement System of Texas.) 
this office has detemined the following:
         
         Biennial Net Impact to General Revenue Funds by HB1780-As Engrossed
         
No significant fiscal implication to the State is anticipated.
         

         
 
Committee Substitute for House Bill 1780 would allow the Employee 
Retirement System (ERS) to adopt rules to provide procedures 
for making installment payments for the purchase of service 
credit for state employees. Additionally it would allow for 
a payroll deduction for purchase of credit with the Teachers 
Retirement System (TRS). It is anticipated that ERS would provide 
employees with more options than are currently available by 
statute. TRS and ERS expect no significant fiscal impact from 
passage of the bill. 
          
No fiscal implication to units of local government is anticipated.
          
   Source:            Agencies:   323   Teacher Retirement System and Optional Retirement Program
                                         
                      LBB Staff:   JK ,JD ,PE ,WM