By Bernsen S.B. No. 902
76R5304 GJH-D
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to service credit in the Teacher Retirement System of
1-3 Texas for accumulated personal or sick leave.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 823.403, Government Code, is amended to
1-6 read as follows:
1-7 Sec. 823.403. CREDIT FOR ACCUMULATED PERSONAL OR SICK LEAVE.
1-8 (a) A member who retires from an employer as defined by Section
1-9 821.001(7) based on service or a disability is entitled to
1-10 membership service credit in the retirement system for the member's
1-11 state personal or sick leave that has accumulated and is unused on
1-12 the last day of employment pursuant to the terms of this section.
1-13 State personal or sick leave is creditable in the retirement system
1-14 in the amount of one year of service credit for 50 days or more, or
1-15 400 hours or more, of accumulated state personal or sick leave. An
1-16 accumulation of less than 50 days is not creditable. Not more than
1-17 five days of unused state personal or sick leave may be accumulated
1-18 per year. Credit established under this section may be used only
1-19 for the purpose of calculating benefits under Section 824.203.
1-20 (b) The employer shall, under rules adopted by the
1-21 retirement system, certify the amount of a member's accumulated
1-22 state personal or sick leave on the last day of employment before
1-23 retirement.
1-24 (c) On receipt of a certification under Subsection (b) [and
2-1 payment under Subsection (d) of this section], the retirement
2-2 system shall grant any credit to which a retiree who is a subject
2-3 of the certification is entitled. The increase in the annuity
2-4 payment begins with the first payment that becomes due after
2-5 certification [and payment].
2-6 [(d) In order to receive credit, the member shall pay to the
2-7 retirement system at the time service credit is granted under this
2-8 section the actuarial present value of the additional standard
2-9 retirement annuity benefits under the option selected by the member
2-10 that would be attributable to the conversion of the unused state
2-11 personal or sick leave into the service credit based on rates and
2-12 tables recommended by the actuary and adopted by the board of
2-13 trustees.]
2-14 [(e) In accordance with local policy, the employer from
2-15 which the retiring member was compensated on the member's last day
2-16 of employment may reimburse an employee for all or part of the cost
2-17 of purchasing service credit under this section.]
2-18 SECTION 2. This Act takes effect September 1, 1999, and,
2-19 notwithstanding Section 4, Chapter 882, Acts of the 72nd
2-20 Legislature, Regular Session, 1991, Section 823.403, Government
2-21 Code, as added by that Act and amended by this Act, applies to
2-22 retirements that occur on or after September 1, 1999.
2-23 SECTION 3. The importance of this legislation and the
2-24 crowded condition of the calendars in both houses create an
2-25 emergency and an imperative public necessity that the
2-26 constitutional rule requiring bills to be read on three several
2-27 days in each house be suspended, and this rule is hereby suspended.