SRC-SEW H.B. 2122 77(R)   BILL ANALYSIS


Senate Research Center   H.B. 2122
77R13080 SMJ-DBy: Tillery (Armbrister)
State Affairs
5/9/2001
Engrossed


DIGEST AND PURPOSE 

In 1997, the 75th Legislature redesignated the Texas Statewide Volunteer
Fire Fighters Retirement Fund as the Texas Statewide Emergency Services
Personnel Retirement Fund to extend benefits from a statewide retirement
system to volunteer firefighters and other emergency services personnel.
H.B. 2122 makes technical and administrative changes to the Texas Statewide
Emergency Services Retirement Act to facilitate the efficient operation of
the fund.  

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a
state officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Sections 14(c) and (d), Texas Statewide Emergency
Services Retirement Act (Article  6243e.3, V.C.T.S.), to require the state
board of trustees to employ a professional investment manager (rather than
counselor), a legal reserve life insurance company licensed to do business
in the State of Texas, or a bank with trust powers under the laws of the
State of Texas.  Requires the investment manager or bank employed by the
board to be a nationally known organization whose business includes
managing investments (rather than investment counseling) for public pension
and retirement funds.  Makes conforming changes. 

SECTION 2. Amends Section 19, Texas Statewide Emergency Services Retirement
Act  (Article 6243e.3, V.C.T.S.), to make nonsubstantive changes.   

SECTION 3. Amends Section 20(a), Texas Statewide Emergency Services
Retirement Act (Article 6243e.3, V.C.T.S.),  to provide that there is a
state board of trustees composed of nine persons (rather than active
members).  Requires six trustees to be active members of the fund. 
 
SECTION 4. Amends Section 21(c), Texas Statewide Emergency Services
Retirement Act (Article 6243e.3, V.C.T.S.), to require the board, after a
hearing conducted by the State Office of Administrative Hearings on the
appeal of a decision of a local board of trustees, to determine each appeal
from a commissioner's decision based on the hearing record. 
 
SECTION 5. Amends Section 22(a), Texas Statewide Emergency Services
Retirement Act (Article 6243e.3, V.T.C.S.), to set forth guidelines
regarding the composition of the local board of trustees.   
 
SECTION 6. (a)  Provides that Sections 20(a) and 22(a), Texas Statewide
Emergency Services Retirement Act (Article 6243e.3, V.T.C.S.), as amended
by this Act, apply only to the selection of a trustee of a board of
trustees under the Texas Statewide Emergency Services Retirement Act that
occurs on or after the effective date of this Act. 

(b)  Authorizes a person who is serving as a trustee immediately before the
effective date of this Act to complete the trustee's term of office, and
provides that the trustee's qualifications for  serving as a trustee are
governed by the law in effect immediately before the effective date of this
Act until the date that trustee's term expires. 
 
SECTION 7. Effective date:  September 1, 2001.