HBA-ATS H.B. 920 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 920 By: Naishtat Pensions and Investments 2/22/1999 Introduced BACKGROUND AND PURPOSE Currently, only members of the United States' armed forces honorably discharged from active federal duty are eligible to establish their military service as service creditable under the Employees Retirement System of Texas. Those who have served either in the Texas National Guard or in the United States' armed forces reserves are unable to establish their service in those organizations as creditable service. Under H.B. 920, such service comprises military service creditable in the retirement system. This bill also provides that veterans of the United States' armed forces, United States' armed forces reserves, and the Texas National Guard are authorized to establish five years of service credit in the retirement system, although at different rates. In addition, this bill deletes the provision that a member has to be ineligible to receive federal retirement payments to be eligible to establish military service credit in the retirement system. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 813.301, Government Code, to include service as a member of the Texas National Guard (Guard) and service in the United States' armed forces reserves (armed forces reserves) among the types of military service creditable in the Employees Retirement System of Texas (retirement system). Although the bill deletes the provision allowing a member to establish one month of service credit in the retirement system for each month or fraction of a month of military duty, it establishes new rates of creditable service for members of the United States' armed forces (armed forces), the armed forces reserves, and the Guard. For active federal duty as an armed forces member, the rate is one month of service credit for each month or fraction of a month of that service. For service as a Guard member and service in the armed forces reserves, the rate is one month of service credit for each 12 months or fractions of months of that service. SECTION 2. Amends Section 813.302(b), Government Code, by deleting one restriction used to define who is a member eligible to establish military service credit. A member no longer has to be ineligible to receive federal retirement payments to be eligible to establish military service credit. Makes a nonsubstantive change. Redesignates existing Subdivision (3) to Subdivision (2). SECTION 3. Amends Section 813.505(b), Government Code, to make a conforming change. SECTION 4. Emergency clause. Effective date: upon passage.