SRC-CTC, BWC S.B. 29 77(R) BILL ANALYSIS Senate Research Center S.B. 29 77R286 GJH-DBy: Zaffirini Education 2/8/2001 As Filed DIGEST AND PURPOSE Currently, the standard service retirement annuity in the Teacher Retirement System of Texas is calculated on the basis of the member's average annual compensation for the three years of service, whether or not consecutive, in which the member received the highest annual compensation, times 2.2 percent for each year of service credit in the retirement system. As proposed, S.B. 29 increases this percentage calculator for use in benefit computation from 2.2 to 2.25 percent. 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 Section 824.203(a) and (e), Government Code, by providing that the standard service retirement annuity is an amount computed on the basis of the member's average annual compensation for the three years of service in which the member received the highest annual compensation, times 2.25, rather than 2.2, percent for each year of service credit in the retirement system. Makes a conforming change. SECTION 2. Requires the Teacher Retirement System of Texas to recompute an annuity that first became payable before September 1, 2001, as though Section 824.203(a) and (e), Government Code, as amended by this Act, were in effect on the date the annuity first became payable, and provides that the first payment of the recomputed annuity is payable on the first payment date occurring on or after the effective date of this Act. SECTION 3. Effective date: September 1, 2001.