LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 77th Regular Session
  
                              April 30, 2001
  
  
          TO:  Honorable Bill Ratliff, Lieutenant Governor,  Senate
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  SB522  by Armbrister (Relating to participation and
               credit in, contributions to, and benefits and
               administration of the Texas Municipal Retirement
               System.), As Passed 2nd House
  
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*  No fiscal implication to the State is anticipated.                    *
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Local Government Impact
  

No significant impact to units of local government is anticipated.

The bill would make various administrative and technical changes to the
Texas Municipal Retirement System. Municipalities would have a choice of
allowing their employees to retire at age 60 with 5 years of service.
Retirement annuity options would be expanded, and allow for changing the
option after retirement, with an actuarial adjustment for the
participant. Both of these provisions may be expected to increase
contributions by participating municipalities in the long term, however
not by a significant amount.
  
  
Source Agencies:   
LBB Staff:         JK, RB, WM