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.