By:  Barrientos                                        S.B. No. 256
                                A BILL TO BE ENTITLED
                                       AN ACT
 1-1     relating to reestablishment of service credit in a public
 1-2     retirement system participating in the proportionate retirement
 1-3     program.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter C, Chapter 803, Government Code, is
 1-6     amended by adding Section 803.203 to read as follows:
 1-7           Sec. 803.203.  REESTABLISHMENT OF SERVICE CREDIT FOR PREVIOUS
 1-8     EMPLOYMENT.  (a)  Except as provided by Subsections (d) and (e), an
 1-9     eligible member of a retirement system to which this chapter
1-10     applies may reestablish service credit, including prior service
1-11     credit if applicable, previously canceled in another retirement
1-12     system to which this chapter applies.
1-13           (b)  A person eligible to reestablish service credit under
1-14     this section is one who terminated service covered by, and withdrew
1-15     contributions from, a retirement system to which this chapter
1-16     applies and began service in a position covered by another
1-17     retirement system to which this chapter applies and under which the
1-18     person currently holds a position.
1-19           (c)  A person may apply to reestablish service credit under
1-20     this section by filing an application with the retirement system in
1-21     which the service was originally credited.  The system shall grant
1-22     the service credit when the system receives from an eligible
1-23     applicant:
1-24                 (1)  a contribution in the amount required to
 2-1     reestablish service credit in the retirement system generally,
 2-2     including any applicable interest and membership fees; and
 2-3                 (2)  a certification that the applicant currently holds
 2-4     a position included in the membership of the certifying system.
 2-5           (d)  If service is reestablished under this section in the
 2-6     Texas County and District Retirement System or the Texas Municipal
 2-7     Retirement System, the service is creditable pro rata to the
 2-8     account of each subdivision or municipality for which the service
 2-9     was performed.  Service credit may not be reestablished under this
2-10     section for service performed for a subdivision or municipality not
2-11     participating in the proportionate retirement program.
2-12           (e)  Service credit to which Section 805.002(e) applies may
2-13     not be reestablished under this section.
2-14           SECTION 2.  Subsections (a) and (b), Section 803.103,
2-15     Government Code, are amended to read as follows:
2-16           (a)  Participation in the proportionate retirement program by
2-17     a subdivision participating in the Texas County and District
2-18     Retirement System or a municipality participating in the Texas
2-19     Municipal Retirement System does not include:
2-20                 (1)  participation with a retirement system described
2-21     by Section 803.0021(1) if the subdivision or municipality has
2-22     elected to so limit its participation and has not revoked the
2-23     election under Subsection (b); [or]
2-24                 (2)  participation with a retirement system described
2-25     by Section 803.0021(3); or
2-26                 (3)  participation with regard to reestablishment of
 3-1     service credit under Section 803.203 unless the subdivision or
 3-2     municipality has elected to be covered by that section.
 3-3           (b)  A subdivision or municipality that has elected to limit
 3-4     its participation in the proportionate retirement program may
 3-5     revoke the election and remove the limitation on participation.  A
 3-6     subdivision or municipality also may elect to be covered by Section
 3-7     803.203.  An election under this subsection may be made by vote of
 3-8     the governing body of the subdivision or municipality in the manner
 3-9     required for official actions of the governing body.  The governing
3-10     body shall send notice of an election under this subsection to the
3-11     board of trustees of the retirement system in which the subdivision
3-12     or municipality participates.
3-13           SECTION 3.  The importance of this legislation and the
3-14     crowded condition of the calendars in both houses create an
3-15     emergency and an imperative public necessity that the
3-16     constitutional rule requiring bills to be read on three several
3-17     days in each house be suspended, and this rule is hereby suspended,
3-18     and that this Act take effect and be in force from and after its
3-19     passage, and it is so enacted.