LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE
75th Regular Session
May 2, 1997
TO: Honorable Teel Bivins, Chair IN RE: House Bill No. 2812, As Engrossed
Committee on Education By: Woolley
Senate
Austin, Texas
FROM: John Keel, Director
In response to your request for a Fiscal Note on HB2812 ( Relating
to the inclusion of performance pay for purposes of contributions
and benefits uder the Teacher Retirement System of Texas.) this
office has detemined the following:
Biennial Net Impact to General Revenue Funds by HB2812-As Engrossed
No fiscal implication to the State is anticipated.
The bill would include performance pay awarded to an employee
by a school district in the definition of salary and wages used
in contribution and benefit calculation purposes for the Teacher
Retirement System (TRS). Performance pay is part of a total
compensation plan approved by the board of trustees of a school
district, and is not part of the salary schedule established
by the Texas Education Code, Section 21.402. Since any compensation
received through a performance pay plan would be over and above
the minimum salary schedule, as adjusted by the Cost of Education
Index, the local school district would be required to pay the
6.0% employer retirement contribution to TRS.
Source: Agencies:
LBB Staff: JK ,LP ,PE ,SC