SRC-JJJ S.B. 342 76(R)   BILL ANALYSIS


Senate Research Center   S.B. 342
76R4777 GCH-DBy: Ogden
Intergovernmental Relations
2/19/1999
As Filed


DIGEST 

Currently, Texas law requires a person to terminate employment with all
participating subdivisions in the Texas County and District Retirement
System (TCDRS) before the person is eligible for service retirement.  If a
person does terminate all such employment and retire, Section 842.111,
Texas Government Code, provides that the person may subsequently go to work
for another subdivision while continuing to receive an retirement annuity
from the prior employer, as long as the person remains unemployed by TCDRS
for a 30-day period between jobs within the system. This bill would allow a
person to collect retirement benefits from the prior employer without
having to be unemployed for a period of time between jobs in the TCDRS,
under certain conditions.  This bill would also allow individuals who
changed employing subdivisions after January 1, 1998, while eligible for
service retirement to retire as if the requirements of Section 844.003(d),
Government Code, had been in effect on January 1, 1998.  

PURPOSE

As proposed, S.B. 342 establishes provisions regarding retirement under the
Texas County and District Retirement System. 

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 844.003, Government Code, by amending Subsection
(a) and adding Subsection (d), to authorize a member of the Texas County
and District Retirement System (member) who is eligible for service
retirement on the day the member terminates employment with a participating
subdivision to apply for and receive a service retirement annuity despite
the fact that the member becomes an employee of another participating
subdivision.  Prohibits service and compensation for service with the
member's new employer to be used in determining eligibility for the
annuity.  Establishes the effective date of the retirement, and prohibits
that date from being later than the last day of the third month following
the month in which a member begins employment with the new employer.
Provides that a person who retires under this subsection is considered for
all purposes to be a retiree who resumes service with a different employer
under Section 842.111. Makes conforming changes. 

SECTION 2.(a)  Makes application of this Act retroactive to January 1,
1998, providing the application  is received by January 1, 2000.
Establishes that the effective date of retirement of an  eligible person
who makes a timely application under this subsection is the last day of the
month in which the member resigned from employment with the subdivision. 

(b)  Establishes that the amount of service retirement annuity payable
under this section will be determined under the plan's terms and conditions
in effect the last day of the month in which the member resigned from
employment with the subdivision.  Requires the retirement system to pay all
unpaid annuity payments in a single sum. 

SECTION 3.  Emergency clause.
             Effective date: upon passage.