Amend CSHB 5 by adding the following appropriately numbered 
SECTIONS and renumbering subsequent SECTIONS accordingly:
	SECTION ____.  Section 11.15(b), Article IX, House Bill No. 
1, Acts of the 78th Legislature, Regular Session, 2003, is amended 
to read as follows:
	(b)  An amount equal to the sum of the General Revenue Fund 
and general revenue dedicated account appropriations contained in 
this Act that are vetoed by the Governor under Section 14, Article 
IV, Texas Constitution, shall be segregated by the Comptroller and 
is hereby appropriated, as necessary, for the transfers in 
subsection (c).  To the extent that amounts appropriated by this 
subsection are not necessary for the transfers in subsection (c), 
the amounts are available for emergency transfers by the Governor 
and the Legislative Budget Board acting under Section 69, Article 
XVI, Texas Constitution, and under Chapter 317, Government Code.
	SECTION ___.  Section 11.28(a), Article IX, House Bill No. 
1, Acts of the 78th Legislature, Regular Session, 2003 (the General 
Appropriations Act), is amended to read as follows:
	(a)  Notwithstanding other provisions of this Act, based 
upon the passage of federal legislation that provides federal funds 
for the purpose of state fiscal relief, such funds are 
appropriated[, after the implementation of Section 11.15, 
Contingency Appropriation Reduction and Contingency 
Appropriation,] to the Comptroller of Public Accounts in the fiscal 
year in which the funds are received for the purpose of transferring 
funds to state agencies for state fiscal relief, as directed by the 
Governor and Legislative Budget Board acting under Chapter 317, 
Government Code, and in accordance with [provided by] subsection 
(b) of this section.
	SECTION ___.  Subchapter A, Chapter 22, Education Code, is 
amended by adding Section 22.007 to read as follows:
	Sec. 22.007.  RETIREMENT SAVINGS PLAN FOR CERTAIN EMPLOYEES.  
(a)  In this section:
		(1)  "Employer" has the meaning assigned by Section 
821.001, Government Code.
		(2)  "Social security coverage" means old-age, 
survivors, and disability insurance benefits under Title II, Social 
Security Act (42 U.S.C. Section 401 et seq.), as amended.
		(3)  "Wages" has the meaning assigned by Section 209, 
Social Security Act (42 U.S.C. Section 409), as amended.
	(b)  An employer shall enter into a salary reduction 
agreement as provided by this section with each employee who:
		(1)  is employed by the employer in a position for which 
social security coverage is not provided; and
		(2)  is subject to the waiting period required by 
Section 822.001, Government Code, that precedes membership in the 
Teacher Retirement System of Texas.
	(c)  A salary reduction agreement under Subsection (b) must 
provide for the employer to reduce the employee's salary for the 
purpose of:
		(1)  making direct contributions to a deferred 
compensation plan under Chapter 609, Government Code;
		(2)  purchasing a qualified investment product as 
provided by Chapter 22, Acts of the 57th Legislature, 3rd Called 
Session, 1962 (Article 6228a-5, Vernon's Texas Civil Statutes); or
		(3)  making direct contributions to a retirement system 
maintained by the employer that meets the requirements of Section 
3121(b)(7)(F), Internal Revenue Code of 1986, as amended.
	(d)  The total amount contributed under Subsection (c) may 
not be less than 7.5 percent of the employee's wages for the waiting 
period required by Section 822.001, Government Code, that precedes 
membership in the Teacher Retirement System of Texas.  An employer 
may elect to contribute any portion of the percentage amount 
required by this subsection.
	(e)  A salary reduction agreement under Subsection (b) must 
provide for the agreement to be terminated on the day before the 
first day of the first payroll period for which the employer makes a 
deduction for deposit with the Teacher Retirement System of Texas 
under Section 825.403, Government Code, unless the employee agrees 
in writing to continue the agreement under the same terms or under 
modified terms.
	(f)  An employer that does not enter into a salary reduction 
agreement with an employee as provided by this section must provide 
social security coverage for the employee.
	(g)  This section does not prohibit an employee from entering 
into any other salary reduction agreement.
	(h)  This section expires September 1, 2005.