SENATE COMMITTEE ON FINANCE 
             Interim Subcommittee on ERS & TRS Employee Benefit Issues 
                               Thursday, May 4, 2000 
                                     9:00 a.m. 
                           Capitol Extension, Room E1.036 
         Pursuant to a notice posted in accordance with Senate Rule  
         11.18, a public hearing of the Senate  Finance Interim  
         Subcommittee was held on Thursday, May 4, 2000, in the Capitol  
         Extension, Room E1.036, at Austin, Texas. 
         MEMBERS PRESENT:                        MEMBERS ABSENT: 
         Senator Steve Ogden, Chairman           Senator Gonzalo  
         Senator Jon Lindsay                     Senator John Carona 
                                                 Senator Mario Gallegos 
         The chair called the meeting to order at 9:03 a.m.  The  
         following business was transacted: 
         Invited Testimony   
         The chair recognized the following witnesses to provide  
         testimony on Employees Retirement System(ERS) and Teacher  
         Retirement System(TRS) issues: 
              Jerry Haddican, representing the Legislative Council,  
              provided an overview on legal background on retirement  
              benefits provided through ERS; 
              Stephanie Coates, representing the Legislative Budget  
              Board, provided an overview of appropriations to ERS  
              retirement benefits; 
              Sheila Beckett, Philip Dial and William Nail, representing  
              ERS, provided overview on defined benefits plan, deferred  
              compensation plans, TEXFLEX, and other benefits provided  
              through ERS; 
              Ronald K. Snell, representing the National Conference of  
              State Legislatures, provided an overview on defined  
              contribution and defined benefit plans among the states; 
              Matthew P. Lanthrop, representing the American Legislative  
              Exchange Council, provided an overview on defined  
              contribution plans; 
              Ginger Smith and Kevin Deiters, representing the State  
              Pension Review Board, provided an overview on defined  
              contribution and defined benefit plans; 
              Charles Dunlap, representing TRS, provided an overview on  
              catastrophic health insurance coverage option for teachers; 
         Public Testimony 
              Mike Lehr, representing himself; 
              Eric Hartman, representing the Texas Federation of  
              Chuck Hempstead, representing the Texas Association of  
         College Teachers; 
              Ted Melina Raab, representing the Texas State Employees  
                        Union; and      
              Lillie Gilligan, representing herself. 
         There being no further business, at 12:00 p.m. Senator Lindsay  
         moved that the Committee stand recessed subject to the call of  
         the chair.  Without objection, it was so ordered.   
         Senator Steve Ogden, Chair 
         Amber Martin, Clerk