1-1 AN ACT
1-2 relating to a firefighters' relief and retirement fund in certain
1-3 municipalities.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 1(11), Article 6243e.2(1), Revised
1-6 Statutes, is amended to read as follows:
1-7 (11) "Firefighter" means a full-time, fully paid,
1-8 active, classified member of a regularly organized fire department
1-9 of an incorporated municipality with a fund established under this
1-10 article, including a member who has made a DROP election, but is
1-11 otherwise described in this definition.
1-12 SECTION 2. Section 2(l), Article 6243e.2(1), Revised
1-13 Statutes, is amended to read as follows:
1-14 (l) The board shall hold regular monthly meetings at a time
1-15 and place as the board by resolution designates and may hold
1-16 special meetings on call of the chair as the chair determines is
1-17 necessary, keep accurate minutes of board meetings and records of
1-18 board proceedings, keep separate from all other municipal funds all
1-19 money for the use and benefit of the fund, and keep a record of
1-20 claims, receipts, and disbursements. A disbursement from the fund
1-21 may be made in accordance with procedures established by the board.
1-22 The municipality shall allow municipal employees who are board
1-23 trustees to promptly attend all board and committee meetings.
1-24 Each board trustee who is an employee of the municipality shall
2-1 provide the municipality with reasonable notice of the trustee's
2-2 required attendance at regularly scheduled board and committee
2-3 meetings. The municipality shall allow board trustees the time
2-4 required to travel to and attend educational workshops and
2-5 legislative hearings and meetings regarding proposed amendments to
2-6 this article if attendance is consistent with a board trustee's
2-7 duty to the board. The municipality may not use the trustee's
2-8 attendance or travel related to attendance described by this
2-9 subsection to reduce or withhold the wages that the trustee would
2-10 otherwise earn. The board may reimburse from the fund the
2-11 municipality for costs incurred by the municipality for allowing a
2-12 trustee's attendance under this subsection.
2-13 SECTION 3. Section 3, Article 6243e.2(1), Revised Statutes,
2-14 is amended by adding Subsections (h) and (i) to read as follows:
2-15 (h) The board may purchase with board funds a life insurance
2-16 policy from an insurer licensed to do business in this state to
2-17 cover the amount of lump-sum death benefits that may become payable
2-18 to a member's eligible survivor or estate. The amount payable
2-19 under a policy under this subsection on the death of one member may
2-20 not exceed the amount of the lump-sum death benefits payable under
2-21 this article. The board shall be the policyholder of any life
2-22 insurance purchased under this subsection and shall use any
2-23 proceeds received from the insurer to satisfy any lump-sum death
2-24 benefits owed under this article.
2-25 (i) The board may pay with fund assets the reasonable
2-26 expenses incurred in providing annual or semiannual meetings of
2-27 retired members, spouses of retired members, and eligible survivors
3-1 that facilitate communication regarding benefits paid under this
3-2 article if the expenses do not materially affect the total assets
3-3 of the fund. Reasonable expenses may include the purchase of items
3-4 or services necessary to promote and facilitate these meetings.
3-5 SECTION 4. Section 4, Article 6243e.2(1), Revised Statutes,
3-6 is amended to read as follows:
3-7 Sec. 4. SERVICE PENSION BENEFITS. (a) A member with at
3-8 least 20 years of participation who terminates active service for
3-9 any reason other than death is entitled to receive a service
3-10 pension provided by this section.
3-11 (b) A member who terminates active service on or after
3-12 November 1, 1997, and who has completed at least 20 years of
3-13 participation in the fund on the effective date of termination of
3-14 service is entitled to a monthly service pension, beginning on the
3-15 effective date of termination of active service, in an amount equal
3-16 to 50 percent of the member's average monthly salary, plus three
3-17 percent of the member's average monthly salary for each year of
3-18 participation in excess of 20 years, but not in excess of 30 years
3-19 of participation, for a maximum total benefit of 80 percent of the
3-20 member's average monthly salary.
3-21 (c) A member who terminated active service before November
3-22 1, 1997, and who had completed at least 20 years of participation
3-23 on the effective date of termination of service is entitled on
3-24 retirement to receive a monthly service pension in the amount
3-25 provided under the law in effect on the effective date of that
3-26 retirement, unless a subsequent benefit increase is expressly made
3-27 applicable to that member.
4-1 (d) [A member with a service or disability pension, other
4-2 than a deferred retiree or an active member who has elected the
4-3 DROP under Section 5(b) of this article, who began receiving
4-4 benefits from the fund before November 1, 1997, or a member's
4-5 beneficiary who began receiving benefits from the fund before
4-6 November 1, 1997, shall be paid a one-time additional benefit of
4-7 $5,000 from the fund, payable in a lump sum as soon as
4-8 administratively practicable after November 1, 1997.]
4-9 [(e)] The total monthly benefit payable to a retired or
4-10 disabled member, other than a deferred retiree or active member who
4-11 has elected the DROP under Section 5(b) of this article, or each
4-12 eligible survivor of a deceased member, shall be increased by $100,
4-13 beginning with the monthly payment made for July 1999. That
4-14 additional benefit may not be increased under Section 11(c) of this
4-15 article.
4-16 [(f) The benefit under Subsection (d) of this section shall
4-17 be paid to the member or to the eligible spouse of a deceased
4-18 member. If the member is deceased and there is no eligible spouse,
4-19 the benefit shall be divided equally among and paid to each
4-20 eligible child of the member, or, if there is no eligible child,
4-21 the benefit shall be divided among the eligible parents of the
4-22 member.]
4-23 SECTION 5. Section 5, Article 6243e.2(1), Revised Statutes,
4-24 is amended to read as follows:
4-25 Sec. 5. DEFERRED RETIREMENT OPTION PLAN. (a) A member who
4-26 is eligible to receive a service pension under Section 4 of this
4-27 article and who remains in active service may elect to participate
5-1 in the deferred retirement option plan provided by this section.
5-2 On subsequently terminating active service, a member who elected
5-3 the DROP may apply for a monthly service pension under Section 4 of
5-4 this article, except that the effective date of the member's
5-5 election to participate in the DROP will be considered the member's
5-6 retirement date for determining the amount of the member's monthly
5-7 service pension. The member may also apply for any DROP benefit
5-8 provided under this section on terminating active service. Except
5-9 as provided by Subsection (l) [(n)] of this section, an election to
5-10 participate in the DROP, once approved by the board, is
5-11 irrevocable.
5-12 (b) A member may elect to participate in the DROP by
5-13 complying with the election process established by the board. The
5-14 member's election may be made at any time beginning on the date the
5-15 member has completed 20 years of participation in the fund and is
5-16 otherwise eligible for a service pension under Section 4 of this
5-17 article. The election becomes effective on the first day of the
5-18 month following the month in which the board approves the member's
5-19 DROP election. Beginning on the effective date of the member's
5-20 DROP election, amounts equal to the deductions made from the
5-21 member's salary under Section 13(c) of this article shall be
5-22 credited to the member's DROP account. If a DROP participant
5-23 remains in active service after the seventh [fifth] anniversary of
5-24 the effective date of the member's DROP election, subsequent
5-25 deductions from the member's salary under Section 13(c) of this
5-26 article may not be credited to the member's DROP account and may
5-27 not otherwise increase any benefit payable from the fund for the
6-1 member's service.
6-2 (c) Beginning in the month a member's DROP election becomes
6-3 effective, an amount equal to the monthly service pension the
6-4 member would have received under Section 4 of this article and
6-5 Section 11(c) of this article, if applicable, had the member
6-6 terminated active service on the effective date of the member's
6-7 DROP election shall be credited to a DROP account maintained for
6-8 the member. That monthly credit to the member's DROP account shall
6-9 continue until the earlier of the date the member terminates active
6-10 service or the seventh [fifth] anniversary of the effective date of
6-11 the member's DROP election.
6-12 (d) A member's DROP account shall be credited with earnings
6-13 or losses at an annual rate equal to the average annual return
6-14 earned by the fund over the five years preceding, but not
6-15 including, the year during which the credit is given. Those
6-16 earnings or losses shall be computed and credited at a time and in
6-17 a manner determined by the board, except that earnings or losses
6-18 shall be credited not less frequently than once in each 13-month
6-19 period and shall take into account partial years of participation
6-20 in the DROP. If the member has not terminated active service, the
6-21 member's DROP account may not be credited with earnings or losses
6-22 after the seventh [fifth] anniversary of the effective date of the
6-23 member's DROP election.
6-24 (e) A member who terminates active service after
6-25 participating in the DROP is entitled to receive, in addition to
6-26 the member's service pension under Section 4 of this article, a
6-27 benefit equal to the balance of the member's DROP account. Unless
7-1 the member elects to receive [installment or] partial distributions
7-2 in accordance with Subsection (f) [or (h)] of this section, the
7-3 balance of a member's DROP account shall be paid to the member in a
7-4 single lump-sum payment as soon as is administratively practicable
7-5 after the member's termination of active service.
7-6 (f) [In lieu of a single lump-sum payment, a member may
7-7 elect to receive the balance of the member's DROP account in three
7-8 substantially equal installments. A member electing the
7-9 installment form of distribution is entitled to receive the first
7-10 installment within a reasonable period after terminating active
7-11 service. The second and third installments shall be paid to the
7-12 member on the first and second anniversaries of the date of the
7-13 first installment. A member electing to receive the member's DROP
7-14 account balance in installments may convert that election at any
7-15 time after receipt of the first installment to an election to
7-16 receive the remainder of the member's DROP account balance in a
7-17 lump-sum payment. If a member elects to receive installments, the
7-18 member's DROP account may not be credited with earnings or losses
7-19 occurring after the member leaves active service. The DROP account
7-20 balance of a member who elects to receive the member's DROP account
7-21 balance in installments may not be credited with interest after the
7-22 date of payment of the first installment.]
7-23 [(g) The board may adopt by a majority vote the provisions
7-24 of Subsections (h) and (i) of this section.]
7-25 [(h)] In lieu of a single lump-sum payment, a member may
7-26 elect to receive partial payments from the member's DROP account
7-27 for each calendar year, in an amount elected by the member. The
8-1 board may establish procedures concerning partial payments,
8-2 including limitations on timing and frequency of those payments. A
8-3 member who elects partial payments may, at any time, elect to
8-4 receive the member's entire remaining DROP account balance in a
8-5 single lump-sum payment.
8-6 (g) [(i)] If a member elects partial payments, for periods
8-7 after a member terminates active service and before the member's
8-8 DROP account is completely distributed, the member's DROP account
8-9 shall be credited with earnings or losses of the fund as computed
8-10 under Subsection (d) of this section and reduced by an
8-11 administrative fee of one percent of the account balance each year,
8-12 determined before adjustment for earnings or losses for the year.
8-13 (h) [(j)] An election by a member concerning single lump-sum
8-14 [installment] or partial payments as provided by Subsection (e) or
8-15 (f) [Subsections (f) (i)] of this section must satisfy the
8-16 requirements of Section 401(a)(9) of the code. All distributions
8-17 and changes in form of distribution must be made in a manner and at
8-18 a time that comply with that provision of the code.
8-19 (i) [(k)] A member who elects to participate in the DROP is
8-20 considered to have terminated active service on the effective date
8-21 of the member's DROP election for purposes of computing and
8-22 providing service pension benefits under Section 4 of this article
8-23 and for purposes of computing and providing death benefits under
8-24 Section 7 of this article. A salary earned or additional years of
8-25 participation completed after the member's DROP election becomes
8-26 effective may not be considered in the computation of retirement,
8-27 disability, or death benefits unless a DROP revocation is made as
9-1 prescribed by Subsection (l) [(n)] of this section.
9-2 (j) [(l)] If a DROP participant dies before complete
9-3 distribution of the member's DROP account has been made, the
9-4 member's DROP account balance shall be distributed to the member's
9-5 eligible beneficiaries, determined as follows:
9-6 (1) if the member is survived by a spouse [person] who
9-7 was the member's spouse on the member's last day of active service
9-8 and one or more eligible children, one-half of the member's DROP
9-9 account balance shall be paid to that eligible spouse, and the
9-10 remaining one-half shall be divided equally among the member's
9-11 eligible children;
9-12 (2) if the member is survived by a spouse described by
9-13 Subdivision (1) of this subsection, but not by an eligible child,
9-14 the member's entire DROP account balance shall be paid to the
9-15 surviving spouse;
9-16 (3) if the member is survived by one or more eligible
9-17 children, but not by a spouse described by Subdivision (1) of this
9-18 subsection, the member's DROP account balance shall be divided
9-19 equally among the eligible children;
9-20 (4) if the member is not survived by a spouse
9-21 described by Subdivision (1) of this subsection or an eligible
9-22 child, the member's DROP account balance shall be divided equally
9-23 among the member's eligible parents;
9-24 (5) if the member is not survived by a spouse
9-25 described by Subdivision (1) of this subsection, an eligible child,
9-26 or an eligible parent, the member's DROP account balance shall be
9-27 distributed in accordance with the member's beneficiary designation
10-1 filed with the board or, if the member has failed to file a valid
10-2 beneficiary designation, to the member's estate; and
10-3 (6) if a member's spouse described by Subdivision (1)
10-4 of this subsection was not married to the member on the date the
10-5 member's DROP election became effective, the spouse shall receive a
10-6 reduced benefit equal to the benefit otherwise payable to the
10-7 surviving spouse under this subsection, multiplied by the
10-8 percentage of the period between the member's DROP election and the
10-9 date the member left active service during which the spouse and the
10-10 member were married, and the amount by which the spouse's benefit
10-11 is reduced shall be divided among any other eligible survivors as
10-12 if the member did not have an eligible spouse.
10-13 (k) [(m)] An eligible beneficiary's share of a deceased
10-14 member's DROP account shall be distributed as soon as
10-15 administratively practicable after the member's death in the form
10-16 of a single lump-sum payment. All distributions to beneficiaries
10-17 under this subsection must be made in a manner and at a time that
10-18 comply with Section 401(a)(9) of the code.
10-19 (l) [(n)] Except as otherwise provided by this subsection, a
10-20 member who participates in the DROP is ineligible for disability
10-21 benefits described by Section 6 of this article, and the member's
10-22 survivors are ineligible to receive enhanced death benefits
10-23 described by Section 7(c) of this article. A DROP participant who
10-24 is determined under Section 6(c) of this article to be incapable of
10-25 performing any substantial gainful employment because of an on-duty
10-26 disability may retroactively revoke the member's DROP election if
10-27 the revocation occurs before the member receives a distribution
11-1 from the member's DROP account or retirement benefits. If a DROP
11-2 participant dies in the course of the performance of the member's
11-3 duty or dies as a result of an on-duty disability described by
11-4 Section 6(c) of this article, the DROP participant's eligible
11-5 survivors under Section 7 of this article and the member's eligible
11-6 DROP beneficiaries under Subsection (j) [(l)] of this section may,
11-7 by unanimous agreement, retroactively revoke the member's DROP
11-8 election if the revocation occurs before receipt of a distribution
11-9 from the member's DROP account, service pension benefits under
11-10 Section 4 of this article, or death benefits under Section 7 of
11-11 this article. For purposes of this subsection, an on-duty
11-12 disability must have occurred after the effective date of a
11-13 member's election to participate in the DROP. If a DROP election
11-14 revocation is made as prescribed by this subsection, the member's
11-15 DROP account is not distributed, and the member or the member's
11-16 beneficiary, as applicable, is entitled to benefits under this
11-17 article as if a DROP election had not been made.
11-18 (m) [(o)] A retired member who previously participated in
11-19 the DROP and who returns to active service is subject to the terms
11-20 of this section in effect at the time of the member's return to
11-21 active service.
11-22 (n) [(p)] After August 31, 2000, the board may set a date
11-23 after which additional members will not be allowed to elect to
11-24 participate in the DROP. A member whose election to participate in
11-25 the DROP becomes effective before a deadline established by the
11-26 board is entitled to continue participating in the DROP.
11-27 (o) A member who has made a DROP election is not classified
12-1 as retired, eligible to be paid, or eligible to accrue or to
12-2 receive any benefit that is accrued or received by a member who has
12-3 terminated active service or by the eligible survivors of deceased
12-4 members unless the member who has made the DROP election has
12-5 terminated active service.
12-6 SECTION 6. Section 6(d), Article 6243e.2(1), Revised
12-7 Statutes, is amended to read as follows:
12-8 (d) If a full-time active member with at least six years of
12-9 service becomes disabled or dies from heart or lung disease or
12-10 cancer, and the member successfully passed a physical examination
12-11 before the claimed disability or death or on beginning employment
12-12 as a firefighter, and the examination failed to reveal any evidence
12-13 of the heart or lung disease or cancer, that condition will be
12-14 presumed to have caused an on-duty disability for purposes of
12-15 determining eligibility for disability benefits under this section,
12-16 and the amount of the disability benefit is presumed to constitute,
12-17 unless the presumption is rebutted, [constitutes] the pension
12-18 amount that shall be used to determine the death benefit payable
12-19 with respect to that member. The on-duty disability presumption
12-20 may be rebutted only by clear and convincing evidence. Another
12-21 statutory presumption regarding the cause of illnesses or
12-22 conditions does not affect any benefit payable under this article.
12-23 SECTION 7. Section 7(e), Article 6243e.2(1), Revised
12-24 Statutes, is amended to read as follows:
12-25 (e) In addition to the monthly death benefit provided under
12-26 Subsection (a) of this section, if an active member or a member
12-27 receiving a service pension under Section 4 of this article or a
13-1 disability pension under Section 6 of this article dies on or after
13-2 July 1, 1998, the member's eligible survivors are entitled to a
13-3 one-time $5,000 death benefit, payable as a lump sum as follows:
13-4 (1) if the member is survived by an eligible spouse,
13-5 the eligible spouse is entitled to receive $5,000;
13-6 (2) if the member is not survived by an eligible
13-7 spouse, the member's eligible children are entitled to receive
13-8 $5,000, divided equally among those children; [or]
13-9 (3) if the member is not survived by an eligible
13-10 spouse or an eligible child, the $5,000 death benefit shall be
13-11 divided equally among the eligible parents of the deceased member;
13-12 or
13-13 (4) if the member is not survived by an eligible
13-14 spouse, an eligible child, or an eligible parent, the $5,000 death
13-15 benefit shall be paid to the deceased member's estate.
13-16 SECTION 8. Section 10, Article 6243e.2(1), Revised Statutes,
13-17 is amended to read as follows:
13-18 Sec. 10. NONSTATUTORY BENEFIT INCREASES. The benefits
13-19 provided by this article may be increased if:
13-20 (1) [the increase is first approved by] an actuary
13-21 selected by the board who, if an individual, is a Fellow of the
13-22 Society of Actuaries, a Fellow of the Conference of Actuaries in
13-23 Public Practice, or a member of the American Academy of Actuaries
13-24 determines that the increase cannot reasonably be viewed as posing
13-25 a material risk of jeopardizing the fund's ability to pay any
13-26 existing benefit;
13-27 (2) a majority of the participating members of the
14-1 fund vote for the increase by a secret ballot;
14-2 (3) the increase does not deprive a member, without
14-3 the member's written consent, of a right to receive benefits that
14-4 have already become fully vested and matured in a member; and
14-5 (4) the State Pension Review Board approves the
14-6 determination by the actuary selected by the board that the
14-7 increase cannot reasonably be viewed as posing a material risk of
14-8 jeopardizing the fund's ability to pay any existing benefit
14-9 [increase, which approval may not be unreasonably withheld].
14-10 SECTION 9. Article 6243e.2(1), Revised Statutes, is amended
14-11 by adding Sections 10A and 10B to read as follows:
14-12 Sec. 10A. ANNUAL SUPPLEMENTAL BENEFIT FOR CERTAIN RETIRED
14-13 MEMBERS AND ELIGIBLE SURVIVORS. (a) The board shall pay
14-14 supplemental benefits under this section to retired members, not
14-15 including deferred retirees, and to eligible survivors, not
14-16 including survivors of deferred retirees, if the requirements of
14-17 Subsection (b) of this section are met. The board shall pay the
14-18 supplemental benefits in January following a fiscal year of the
14-19 fund in which the requirements of Subsection (b) of this section
14-20 are met.
14-21 (b) The board shall pay supplemental benefits under this
14-22 section if the fund actuary determines that, as of the end of any
14-23 fund fiscal year:
14-24 (1) the value of the fund's assets exceeds the amount
14-25 of the fund's accrued liability;
14-26 (2) the fund's gross rate of return on investments for
14-27 that fiscal year exceeds 9.25 percent; and
15-1 (3) payment of supplemental benefits will not result
15-2 in an increase of the municipality's contribution rate.
15-3 (c) The board shall adopt rules and procedures to govern the
15-4 payment of benefits under this section and shall establish a
15-5 minimum income level consistent with the national poverty level set
15-6 by the United States Department of Health and Human Services.
15-7 (d) The board shall determine an aggregate supplemental
15-8 benefit amount that may not exceed the lesser of:
15-9 (1) the amount by which the value of fund assets
15-10 exceeds the amount of accrued liability as determined under
15-11 Subsection (b)(1) of this section; or
15-12 (2) $4 million.
15-13 (e) Based on the aggregate supplemental benefit amount
15-14 determined under Subsection (d) of this section, the board shall
15-15 determine the amount of a lump-sum payment for each retired member
15-16 or eligible survivor.
15-17 (f) In determining the lump-sum payment amount, the total
15-18 number of years since the commencement date of each retired
15-19 member's or eligible survivor's annual retirement or survivor
15-20 benefit shall be divided by the total number of years since the
15-21 commencement date of all retired members' and eligible survivors'
15-22 annual retirement or survivor benefit to establish a payment
15-23 percentage for each retired member and eligible survivor.
15-24 (g) The payment percentage of each retired member and
15-25 eligible survivor shall be multiplied by the aggregate supplemental
15-26 benefit less the total amount of any payments made under Subsection
15-27 (i) of this section.
16-1 (h) The product of the computation under Subsection (g) of
16-2 this section determines the lump-sum payment to the retired member
16-3 or eligible survivor unless the lump-sum payment plus the annual
16-4 retirement benefit is less than the minimum income level
16-5 established by the board.
16-6 (i) If the lump-sum payment plus the annual retirement
16-7 benefit is less than the minimum income level established by the
16-8 board, the retired member or eligible survivor is entitled to
16-9 receive an additional payment from the amount determined under
16-10 Subsection (d) of this section that will cause the recipient to
16-11 meet but not exceed the minimum income level.
16-12 (j) The benefits commencement date for a retired member or
16-13 the eligible survivor of a retired member is the first day on which
16-14 the retired member most recently began receiving pension benefits
16-15 from the fund. The benefits commencement date for an eligible
16-16 survivor of an active member is the first day of receipt of
16-17 benefits as an eligible survivor.
16-18 (k) Notwithstanding any other provision of this section, if
16-19 more than one eligible survivor is to receive a supplemental
16-20 benefit as a result of one deceased person under this section:
16-21 (1) only one eligible survivor is considered in
16-22 computations under this section other than computations under
16-23 Subdivision (2) of this subsection and as receiving the payments
16-24 received by all eligible survivors of the one deceased person; and
16-25 (2) the amount of payments under this section will be
16-26 paid to the eligible survivors in the same manner as payments under
16-27 Sections 7(a) and (b) of this article are made.
17-1 (l) All actuarial determinations required under this section
17-2 must be made by the fund's actuary.
17-3 Sec. 10B. ADDITIONAL LUMP-SUM RETIREMENT OR DEATH BENEFIT.
17-4 (a) The board shall pay the following people a $4,000 lump-sum
17-5 payment from the fund, in addition to any other benefits, as soon
17-6 as administratively practicable after the date of the person's
17-7 retirement, if the person's retirement occurs or occurred after
17-8 June 30, 1998:
17-9 (1) each member who retires or retired after
17-10 completing 20 years of service and is eligible to receive service
17-11 pension benefits under Section 4 of this article; and
17-12 (2) each member who retires or retired and is eligible
17-13 to receive disability benefits under Section 6 of this article.
17-14 (b) The board shall pay a $4,000 lump-sum payment from the
17-15 fund, in addition to any other benefits, to an eligible survivor of
17-16 a member:
17-17 (1) whose death occurs or occurred after June 30,
17-18 1998;
17-19 (2) who had not terminated active service; and
17-20 (3) who was ineligible to receive service pension
17-21 benefits under Section 4 of this article or disability benefits
17-22 under Section 6 of this article.
17-23 (c) If more than one eligible survivor of one deceased
17-24 member exists, the amount of each survivor's benefit is determined
17-25 in the same manner as payment of death benefits is determined under
17-26 Section 7(e) of this article. The board shall make payments under
17-27 Subsection (b) of this section as soon as administratively
18-1 practicable after the date of death of the member of whom each
18-2 recipient is an eligible survivor.
18-3 SECTION 10. Sections 13(b) and (h), Article 6243e.2(1),
18-4 Revised Statutes, are amended to read as follows:
18-5 (b) [The board shall establish minimum physical requirements
18-6 for membership in the fund that may not exceed the physical
18-7 requirements established by the Fire Fighters' and Police Officers'
18-8 Civil Service Commission under Section 143.022, Local Government
18-9 Code, and that must be the same for all applicants.] At the time
18-10 that physical examinations are administered on behalf of the
18-11 municipality, each applicant must be provided written notice that a
18-12 copy of the results of the examination will be forwarded to the
18-13 board for the purpose of determining whether the applicant has a
18-14 preexisting condition that would be relevant to any determination
18-15 under Section 6 of this article [to determine eligibility for
18-16 membership in the fund and the existence of any preexisting
18-17 condition]. Not later than the 10th day after the date of a
18-18 physical examination performed on an applicant for a beginning
18-19 position in the fire department as required by Section 143.022,
18-20 Local Government Code, the municipality shall provide to the board
18-21 a copy of all documents resulting from the physical examination.
18-22 The board may require additional physical examinations if necessary
18-23 in determining the presence or absence of any preexisting condition
18-24 [to determine whether the applicant meets the minimum physical
18-25 requirements for membership in the fund]. The fund shall pay the
18-26 cost of any additional physical examination the board requires.
18-27 [Within a reasonable time after receiving the examination reports
19-1 of an applicant, the board shall, on the basis of one or more
19-2 physical examinations, determine whether the applicant meets the
19-3 minimum physical requirements for membership in the fund. The
19-4 board shall notify the applicant and the chief of the fire
19-5 department not later than the 10th calendar day after the date of
19-6 the board's decision on the applicant's satisfaction of the minimum
19-7 physical requirements. If the board rejects the applicant, the
19-8 applicant may request further examination by a board of three
19-9 physicians appointed by the board at the expense of the applicant.
19-10 If a physician board finds that an applicant meets the minimum
19-11 physical requirements for membership in the fund, the board shall
19-12 accept the applicant for membership.] If accepted by the board,
19-13 the applicant's membership in the fund is effective on being
19-14 appointed to the position of probationary firefighter.
19-15 (h) If the municipality's actuarially determined
19-16 contribution rate computed in accordance with Subsection (d) of
19-17 this section would exceed the minimum contribution rate specified,
19-18 the benefits payable under Sections 4(d)[, 4(e),] and 7(e) of this
19-19 article may not be paid, an eligible spouse whose benefit is
19-20 reduced under Section 7(b) of this article may not be paid a
19-21 benefit if there are no other eligible survivors, and the
19-22 municipality's actuarially determined contribution rate shall be
19-23 recomputed on the basis of the assumption that those benefits are
19-24 suspended indefinitely. If the recomputation results in an
19-25 actuarially determined contribution rate less than the minimum
19-26 contribution rate specified, a portion of the benefits shall be
19-27 paid, as determined by the board, to the extent that, with the
20-1 payments determined, the two contribution rates are equal. This
20-2 subsection expires July 31, 1999, unless on that date the
20-3 municipality's actuarially determined contribution rate computed in
20-4 accordance with Subsection (d) of this section would exceed the
20-5 minimum contribution rate specified.
20-6 SECTION 11. This Act takes effect November 1, 1999.
20-7 SECTION 12. The importance of this legislation and the
20-8 crowded condition of the calendars in both houses create an
20-9 emergency and an imperative public necessity that the
20-10 constitutional rule requiring bills to be read on three several
20-11 days in each house be suspended, and this rule is hereby suspended.
_______________________________ _______________________________
President of the Senate Speaker of the House
I certify that H.B. No. 1173 was passed by the House on April
8, 1999, by a non-record vote.
_______________________________
Chief Clerk of the House
I certify that H.B. No. 1173 was passed by the Senate on May
10, 1999, by the following vote: Yeas 30, Nays 0.
_______________________________
Secretary of the Senate
APPROVED: _____________________
Date
_____________________
Governor