LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 77th Regular Session March 11, 2001 TO: Honorable Dale B. Tillery, Chair, House Committee on Pensions & Investments FROM: John Keel, Director, Legislative Budget Board IN RE: HB1164 by Eiland (Relating to credit in the Texas County and District Retirement System for certain service as a peace officer.), As Introduced ************************************************************************** * No fiscal implication to the State is anticipated. * ************************************************************************** Local Government Impact No significant fiscal implication to units of local government is anticipated. The proposal would allow a contributing member to establish Texas County and District Retirement System (TCDRS) current service credit for service previously performed as a peace officer licensed by the Commission on Law Enforcement Standards and Education and commissioned by a state agency included in the coverage of the Employees Retirement System of Texas (ERS) or a municipality covered by the Texas Municipal Retirement System (TMRS). Service may not be established for any service while it is credited in ERS or TMRS. The member would be required to pay the actuarial present value of the additional standard service retirement benefit that would be attributable to the credit. Since only a relatively small subset of members would be affected, and they would be required to pay the actuarial present value of the additional standard service retirement benefit, it seems likely that in most cases, additional costs to participating subdivisions of TCDRS would not be significant. The actuary points out that this proposal may allow these members to retire earlier, though of course they would still be subject to the standard retirement eligibility provisions for their plan. Source Agencies: LBB Staff: JK, RB, WM