SRC-MWN S.B. 1769 77(R)   BILL ANALYSIS


Senate Research Center   S.B. 1769
77R2982 SMJ-DBy: Ogden
Education
4/27/2001
As Filed


DIGEST AND PURPOSE 

Current law requires active teachers to contribute 6.4 percent of their
salaries to their pension plan and 0.25 percent to their health insurance
plan. As proposed, S.B. 1769 reduces teacher contributions to the pension
plan by .040 percent and increases teachers contributions to the health
insurance plan by 0.40 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 825.402, Government Code, to provide that the
rate of contribution for each member of the Teacher Retirement System is
set at certain amounts at certain periods. 

SECTION 2. Amends Section 825.403(a), Government Code, to require each
employer, each payroll period, to deduct from the compensation of each
member employed by the employer an amount equal to 6.0, rather than 6.4,
percent of each member's compensation for that period. 

SECTION 3. Amends Section 16(a), Article 3.50-4, Insurance Code, to require
each active employee, as a condition of employment, to contribute to the
fund an amount equal to .65, rather than .25, percent of the employee's
salary. 

SECTION 4. Effective date: September 1, 2001.
                      Provides that this Act applies to the first full pay
period for a member of the                                   Teacher
Retirement System of Texas that begins on or after the that date.