76R11407 GCH-F
By King of Parker, et al. H.B. No. 2152
Substitute the following for H.B. No. 2152:
By Greenberg C.S.H.B. No. 2152
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to a partial lump-sum distribution on retirement from the
1-3 Texas County and District Retirement System.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Subchapter A, Chapter 844, Government Code, is
1-6 amended by adding Section 844.009 to read as follows:
1-7 Sec. 844.009. PARTIAL LUMP-SUM DISTRIBUTION ON SERVICE
1-8 RETIREMENT. (a) This section applies to all subdivisions that
1-9 elect after December 31, 1999, to begin participation in the
1-10 retirement system. The governing body of any subdivision
1-11 participating as of December 31, 1999, may adopt the provisions of
1-12 this section:
1-13 (1) on the terms provided by Subchapter H; or
1-14 (2) if the board of trustees determines that, based on
1-15 computations by the retirement system's actuary, the adoption would
1-16 not impair the ability of the subdivision to fund all obligations
1-17 against its account in the subdivision accumulation fund before the
1-18 25th anniversary of the subdivision's most recent actuarial
1-19 valuation date.
1-20 (b) A member who is eligible and applies for service
1-21 retirement may simultaneously apply for a partial lump-sum
1-22 distribution under this section.
1-23 (c) The amount of a lump-sum distribution under this section
1-24 may not exceed 100 percent of the total contributions and
2-1 accumulated interest in the member's individual account in the
2-2 employees saving fund attributable to the credited service on which
2-3 the member has applied for retirement.
2-4 (d) The lump-sum distribution will be made as a single
2-5 payment paid at the same time as the first monthly annuity payment.
2-6 (e) For all purposes, the member's basic annuity is the
2-7 annuity actuarially determined from the sum remaining under Section
2-8 844.002(b) after deducting the amount of the lump-sum distribution.
2-9 (f) The amount of a lump-sum distribution made under this
2-10 section is considered to be an annuity payment for the purpose of
2-11 determining whether the amount in the retiree's individual account
2-12 in the employees saving fund available for distribution at the time
2-13 of retirement exceeds the total amount of annuity payments made.
2-14 (g) A member's guardian, attorney in fact, conservator, or
2-15 trustee may make an application for the member under Subsection
2-16 (b).
2-17 (h) No portion of a benefit awarded to an alternate payee
2-18 under a qualified domestic relations order may be distributed in
2-19 the form of a lump sum under this section, except that if the
2-20 member and the alternate payee agree in writing that the alternate
2-21 payee will receive a lump-sum payment instead of benefits awarded
2-22 under the qualified domestic relations order, the amount of the
2-23 lump-sum distribution described in the agreement may be paid
2-24 directly to the alternate payee in complete satisfaction of the
2-25 alternate payee's marital property rights and interest in the
2-26 member's benefit.
2-27 (i) Section 842.110(h) does not apply to a person who
3-1 receives a partial lump-sum payment under this section, unless the
3-2 person receives the payment as an alternate payee under Subsection
3-3 (h).
3-4 SECTION 2. This Act takes effect December 31, 1999.
3-5 SECTION 3. The importance of this legislation and the
3-6 crowded condition of the calendars in both houses create an
3-7 emergency and an imperative public necessity that the
3-8 constitutional rule requiring bills to be read on three several
3-9 days in each house be suspended, and this rule is hereby suspended.