AN ACT
 1-1     relating to participation in, contributions to, and benefits and
 1-2     administration of retirement systems for police officers in certain
 1-3     municipalities.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Section 3.02, Chapter 452, Acts of the 72nd
 1-6     Legislature, Regular Session, 1991 (Article 6243n-1, Vernon's Texas
 1-7     Civil Statutes), is amended to read as follows:
 1-8           Sec. 3.02.  COMPOSITION OF BOARD.  (a)  The police retirement
 1-9     board shall be composed of 11 members as follows:
1-10                 (1)  one council member designated by the city council;
1-11                 (2)  the city manager or the city manager's designee;
1-12                 (3)  the director of finance or the director's
1-13     designee;
1-14                 (4)  five [four] police officer members elected by the
1-15     police officer members of the system, each of whom serves [to
1-16     serve] for a term of four years[.  Vacancies occurring by death,
1-17     resignation, disability retirement, removal, or any other reason
1-18     except retirement shall be filled for the remainder of the term by
1-19     a police officer member appointed by the board;  a police officer
1-20     member who retires, except for disability retirement, will be
1-21     eligible to complete the remainder of the member's term];
1-22                 (5)  one [three] legally qualified voter [voters] of
1-23     the city, resident for the preceding five years, to be appointed by
1-24     the police retirement board to serve for a[.  The] term of [office
 2-1     of citizen members shall be] four years[,] and [each member shall
 2-2     continue to serve] until the member's successor is duly selected
 2-3     and qualified[.  Vacancies occurring by death, resignation, or
 2-4     removal shall be filled by appointment by the remaining members of
 2-5     the police retirement board]; and
 2-6                 (6)  two [one] retired members [member] to be elected
 2-7     by the retired members to serve for a[.  The] term of [office of
 2-8     such member shall be] four years, with the term of one member
 2-9     expiring each odd-numbered year[.  Such member shall continue to
2-10     serve until the member's successor is duly elected and qualified.
2-11     Vacancies occurring by death, resignation, or removal of such
2-12     retired member shall be filled by election by the retired members].
2-13           (b)  The terms of two members elected as described by
2-14     Subsection (a)(4) of this section expire in 2001 and every fourth
2-15     subsequent year, and the terms of three members elected as
2-16     described by Subsection (a)(4) of this section expire in 2003 and
2-17     every fourth subsequent year.
2-18           (c)  A vacancy occurring by the death, resignation, or
2-19     removal of  the member appointed under Subsection (a)(5) of this
2-20     section shall be filled by appointment by the remaining members of
2-21     the police retirement board.
2-22           SECTION 2.  Section 3.03, Chapter 452, Acts of the 72nd
2-23     Legislature, Regular Session, 1991 (Article 6243n-1, Vernon's Texas
2-24     Civil Statutes), is amended to read as follows:
2-25           Sec. 3.03.  [ELECTION OF] POLICE OFFICER AND RETIRED MEMBERS
2-26     OF BOARD.  (a)  The police officer members of the board shall be
 3-1     elected and shall serve in accordance with Subsections (b)-(e) of
 3-2     this section. [the following provisions:]
 3-3           (b) [(1)]  Any police officer member is [shall be] eligible
 3-4     to run in the election for a position on the board.
 3-5           (c) [(2)  Terms of office shall be four years.]  Members
 3-6     shall serve during the term for which they are elected and until
 3-7     their successors are elected and qualified, unless they are removed
 3-8     or their active service as police officers with the city is
 3-9     terminated for any reason other than service retirement.  If a
3-10     police officer member should elect service retirement under Article
3-11     VI of this Act while serving the term for which the member is
3-12     elected, the member shall continue to serve for the remainder of
3-13     the term.
3-14           (d) [(3)]  A vacancy occurring by reason of removal,
3-15     resignation, death, or any other reason [except retirement] shall
3-16     be filled for the remainder of the term by a police officer member
3-17     appointed by the remaining members of the police retirement board.
3-18           (e) [(4)  No later than the first day of November of each
3-19     odd-numbered year, the board shall appoint an election committee.
3-20     The election committee shall prepare the ballot containing the
3-21     names of all eligible candidates.]
3-22                 [(5)  The election committee shall publish a notice at
3-23     least two weeks prior to the election date, informing all police
3-24     officer members of the election and the names of the police officer
3-25     members who have been certified as candidates.]
3-26                 [(6)]  Elections for police officer members shall be
 4-1     held on the first payday in December of each odd-numbered year.
 4-2     The police officers receiving the highest number of votes are
 4-3     [shall be deemed] elected.  In case of a tie vote, selection shall
 4-4     be by lot[.]
 4-5                 [(7)  The election committee shall canvass the returns,
 4-6     certify the results, and announce the official results of the
 4-7     election.]
 4-8                 [(8)  The police retirement board shall approve written
 4-9     procedures for the conduct of the election no later than August 1
4-10     of each odd-numbered year].
4-11           (f)  The retired members of the board shall be elected and
4-12     shall serve in accordance with Subsections (g)-(j) of this section.
4-13           (g)  Any retired member is eligible to run in the election
4-14     for a position on the board.
4-15           (h)  Retired members shall serve during the term for which
4-16     they are elected and until their successors are elected and
4-17     qualified.
4-18           (i)  A vacancy occurring by reason of removal, resignation,
4-19     or death shall be filled for the remainder of the term by a retired
4-20     member appointed by the vote of a majority of the remaining members
4-21     of the police retirement board.
4-22           (j)  An election for retired members shall be held during the
4-23     first week in December of each odd-numbered year.  The retired
4-24     member receiving the highest number of votes in an election is
4-25     elected.  In case of a tie vote, selection shall be by lot.
4-26           (k)  The police retirement board shall approve written
 5-1     procedures for the conduct of all elections under this Act and
 5-2     shall certify and announce the results of each election.
 5-3           SECTION 3.  Section 5.02, Chapter 452, Acts of the 72nd
 5-4     Legislature, Regular Session, 1991 (Article 6243n-1, Vernon's Texas
 5-5     Civil Statutes), is amended by adding Subsection (c) to read as
 5-6     follows:
 5-7           (c)  A member may not receive credit under this section for
 5-8     military service for which the person is receiving or is eligible
 5-9     to receive federal retirement payments based on 20 years or more of
5-10     active military service or its equivalent by the member or for
5-11     which the member has received credit in any other public retirement
5-12     system or program established under the laws of this state.
5-13           SECTION 4.  Subsection (a), Section 5.04, Chapter 452, Acts
5-14     of the 72nd Legislature, Regular Session, 1991 (Article 6243n-1,
5-15     Vernon's Texas Civil Statutes), is amended to read as follows:
5-16           (a)  This section does not take effect unless the city
5-17     council [irrevocably] authorizes the city to begin making
5-18     contributions to the police retirement system in accordance with
5-19     Section 8.01(a) of this Act for police cadets during their
5-20     employment as cadets while members of a cadet class.  Police cadets
5-21     whose cadet class begins after the city council makes the
5-22     [irrevocable] authorization shall make deposits to the police
5-23     retirement system in accordance with Section 8.01(a) of this Act,
5-24     and those cadets shall be members of the police retirement system
5-25     and shall receive creditable service for employment as cadets while
5-26     members of a cadet class, notwithstanding Sections 1.02(7), (18),
 6-1     and (21) of this Act.
 6-2           SECTION 5.  Subsections (a) and (b), Section 6.07, Chapter
 6-3     452, Acts of the 72nd Legislature, Regular Session, 1991 (Article
 6-4     6243n-1, Vernon's Texas Civil Statutes), are amended to read as
 6-5     follows:
 6-6           (a)  The retroactive deferred retirement option plan,
 6-7     referred to as RETRO DROP, is an option a member eligible for
 6-8     service retirement based on 25 years of creditable service,
 6-9     excluding any military service established under Section 5.02 of
6-10     this Act, [under Section 6.02 of this Act] may elect at retirement
6-11     subject to the conditions of this section.  A member who elects
6-12     RETRO DROP receives a lump sum and a monthly retirement benefit.
6-13           (b)  The member shall select the RETRO DROP benefit
6-14     computation date.  The date:
6-15                 (1)  must be the last day of the month used for the
6-16     purpose of determining the monthly retirement benefit;
6-17                 (2)  may not precede the date the member first became
6-18     eligible for service retirement based on 25 years of creditable
6-19     service, excluding [normal retirement date as defined by Section
6-20     1.02(19) of this Act, except that for purposes of this subsection,
6-21     creditable service does not include] any military service credit
6-22     established under Section 5.02 of this Act; and
6-23                 (3)  may not precede the date of retirement by more
6-24     than 36 months.
6-25           SECTION 6.  The changes in law made by this Act in the
6-26     composition of the police retirement board in certain
 7-1     municipalities apply to each vacancy on the board by an elected or
 7-2     citizen member of the board that occurs on or after the effective
 7-3     date of this Act.
 7-4           SECTION 7.  This Act takes effect September 1, 1999.
 7-5           SECTION 8.  The importance of this legislation and the
 7-6     crowded condition of the calendars in both houses create an
 7-7     emergency and an imperative public necessity that the
 7-8     constitutional rule requiring bills to be read on three several
 7-9     days in each house be suspended, and this rule is hereby suspended.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I hereby certify that S.B. No. 429 passed the Senate on
         May 12, 1999, by the following vote:  Yeas 30, Nays 0.
                                             _______________________________
                                                 Secretary of the Senate
               I hereby certify that S.B. No. 429 passed the House on
         May 25, 1999, by a non-record vote.
                                             _______________________________
                                                 Chief Clerk of the House
         Approved:
         _______________________________
                     Date
         _______________________________
                   Governor