By: Pitts, Luna, McClendon H.B. No. 31
A BILL TO BE ENTITLED
AN ACT
relating to certain provisions regarding teachers and retired
teachers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1575.004, Insurance Code, as amended by
Chapters 201, 1231, and 1276, Acts of the 78th Legislature, Regular
Session, 2003, is reenacted and amended to read as follows:
Sec. 1575.004. DEFINITION OF RETIREE. (a) In this chapter,
"retiree" means:
(1) an individual not eligible for coverage under a
plan provided under Chapter 1551 or 1601 who:
(A) is at least 65 years of age and has taken a
service retirement under the Teacher Retirement System of Texas
with at least 10 years of service credit in the system, which may
include up to five years of military service credit, but which may
not include any other service credit purchased for equivalent or
special service credit; [for actual service in public schools in
this state; or]
(B) was employed in actual service in public
schools in this state during or before the 2003-2004 school year and
at the time of retirement meets the requirements for eligibility as
a retiree as those requirements existed on August 31, 2004;
(C) purchased equivalent or special service
credit and:
(i) had that service credited on or before
August 31, 2003;
(ii) retires on or before August 31, 2009;
(iii) at the time of retirement, meets the
requirements for eligibility as a retiree as those requirements
existed on August 31, 2004, including using up to five years of
out-of-state service toward retiree eligibility; and
(iv) has taken a service retirement without
reduction for early age;
(D) has taken a service retirement under the
Teacher Retirement System of Texas and who has at least 10 years of
service credit in the system, which may include up to [for actual
public service in the public schools in this state or has at least
five years of service credit for actual public service in the public
schools in this state and has] five years of military service
credit, but which may not include any other service credit
purchased for equivalent or special service credit, [credited in
the Teacher Retirement System of Texas,] and the sum of the
individual's age and amount of service credit described by this
paragraph [earned for service in the public schools of this state]
equals or exceeds the number 80; or
(E) has taken a service retirement under the
Teacher Retirement System of Texas on or before August 31, 2004, and
who is enrolled in the group program on August 31, 2004; or
(2) an individual who:
(A) has taken a disability retirement under the
Teacher Retirement System of Texas; and
(B) is entitled to receive monthly benefits from
the Teacher Retirement System of Texas.
(b) Each year of service credit in the system that an
individual would have received but for the individual's
participation in the deferred retirement option plan under
Subchapter I, Chapter 824, Government Code, is considered a year of
service credit solely for the purpose of meeting the definition of
"retiree" under Subsection (a)(1)(A) or (D).
(c) In this section, "public school" has the meaning
assigned by Section 821.001, Government Code.
SECTION 2. Section 1575.161(b), Insurance Code, as added by
Chapters 201 and 1231, Acts of the 78th Legislature, Regular
Session, 2003, is reenacted and amended to read as follows:
(b) In addition to the enrollment periods authorized under
Subsection (a), a retiree who:
(1) is enrolled in the group program as of August 31,
2004, and who is 65 years of age or older on that date may select
coverage as described by Subsections (c) and (d) on September 1,
2004; [or]
(2) is enrolled in the group program as of August 31,
2004, and who is 65 years of age after that date may select coverage
as described by Subsections (c) and (d) on the date that the retiree
is 65 years of age; or
(3) enrolls in the group program on or after September
1, 2004, and who is 65 years of age or older on or after that date
may select coverage as described in Subsections (c) and (d) on the
date that the retiree is 65 years of age.
SECTION 3. Section 1575.161, Insurance Code, as added by
Chapter 213, Acts of the 78th Legislature, Regular Session, 2003,
is redesignated as Section 1575.170, Insurance Code.
SECTION 4. Section 1575.211, Insurance Code, as added by
Chapters 201 and 1231, Acts of the 78th Legislature, Regular
Session, 2003, is amended by adding Subsection (c) to read as
follows:
(c) A retiree eligible to participate under Section
1575.004(a)(1)(B) is, except as provided by this subsection,
required to pay the total cost, as determined by the trustee,
attributable to the participation of that individual and the
dependents of that individual until the date the individual is
eligible under Section 1575.004. The General Appropriations Act or
other similar legislation may specify a different allocation of
total costs for retirees eligible to participate under Section
1575.004(a)(1)(B) and the dependents of those retirees. This
subsection applies only to an individual who is eligible to
participate as an annuitant under Section 1575.004(a)(1)(B) and who
is not eligible to participate under another provision of Section
1575.004 at the time of retirement.
SECTION 5. Subchapter E, Chapter 3, Insurance Code, is
amended by adding Article 3.50-8A to read as follows:
Art. 3.50-8A. ADMINISTRATION OF ACTIVE EMPLOYEE HEALTH
COVERAGE OR COMPENSATION SUPPLEMENTATION. (a) In administering
the program for active employee health coverage or compensation
supplementation established under Article 3.50-8 of this code
before September 1, 2004, in accordance with Article 3, Chapter
313, Acts of the 78th Legislature, Regular Session, 2003, each year
the Teacher Retirement System of Texas, as trustee, shall deliver
to each school district, including a school district that is
ineligible for state aid under Chapter 42, Education Code, each
other education district that is a member of the Teacher Retirement
System of Texas, each participating charter school, and each
regional education service center, state funds in an amount, as
determined by the trustee, equal to:
(1) the product of the number of full-time active
employees employed by the district, school, or service center,
other than in the capacity of administrators, multiplied by $500 or
a greater amount as provided by the General Appropriations Act for
purposes of Article 3.50-8 of this code; and
(2) the product of the number of part-time active
employees employed by the district, school, or service center,
other than in the capacity of administrators, multiplied by $250 or
a greater amount as provided by the General Appropriations Act for
purposes of Article 3.50-8 of this code.
(b) An administrator of a district, charter school, or
service center described by Subsection (a) of this article is not
eligible to receive state funds under the program for active
employee health coverage or compensation supplementation.
(c) For purposes of this article, an individual is an
administrator of a district, charter school, or service center
described by Subsection (a) of this article if:
(1) 50 or more percent of the individual's time is
reported under any combination of the following role
identifications in the Public Education Information Management
System (PEIMS), or under any subsequently created role
identifications that describe roles that are substantially similar
to the ones identified in this subdivision:
(A) central administrators:
(i) assistant or associate superintendent
(004);
(ii) instructional officer (central
office, 012);
(iii) superintendent, CAO, CEO, or
president (027);
(iv) teacher supervisor (central office,
028);
(v) vocational education coordinator
(central office, 032);
(vi) athletic director (central office,
040);
(vii) business manager (043);
(viii) tax assessor or collector (044);
(ix) director--personnel/human resources
(045); or
(x) registrar (central office, 055); or
(B) campus administrators:
(i) assistant principal (003);
(ii) instructional officer (not central
office, 012);
(iii) principal (020);
(iv) teacher supervisor (not central
office, 028);
(v) vocational education coordinator (not
central office, 032);
(vi) athletic director (not central office,
040); or
(vii) registrar (not central office, 055);
(2) the individual is employed by a regional education
service center and 50 or more percent of the individual's time is
reported under any combination of the following role
identifications in the Public Education Information Management
System (PEIMS), or under any subsequently created role
identifications that describe roles that are substantially similar
to the ones identified in this subdivision:
(A) executive director (60);
(B) assistant, associate, or deputy executive
director (61);
(C) component or department director (62); or
(D) coordinator, manager, or supervisor (63); or
(3) regardless of how the individual's time is
reported in the Public Education Information Management System
(PEIMS), 50 or more percent of the individual's time is in a role
that is substantially similar to a role described by Subdivision
(1) or (2) of this subsection, as determined by the reporting entity
or combination of entities.
(d) This article applies notwithstanding Section 2(a),
Article 3.50-8, of this code, as that subsection existed before
amendment by Chapter 313, Acts of the 78th Legislature, Regular
Session, 2003, or as that subsection was amended by Section 57,
Chapter 201, Acts of the 78th Legislature, Regular Session, 2003.
(e) Sections 2(b), (c), and (d), Article 3.50-8, of this
code, as those sections existed before amendment by Chapter 313,
Acts of the 78th Legislature, Regular Session, 2003, apply to the
delivery of state funds under Subsection (a) of this article.
(f) The terms used in this article have the meanings
assigned by Section 1, Article 3.50-8, of this code.
(g) This article expires September 1, 2004.
SECTION 6. Sections 2(e) and (f), Article 3.50-8, Insurance
Code, as added by Section 57, Chapter 201, Acts of the 78th
Legislature, Regular Session, 2003, are repealed.
SECTION 7. (a) Except as otherwise provided by this
section, this Act takes effect immediately if this Act receives a
vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect on the 91st day after the last day of the
legislative session.
(b) Sections 1 and 2 of this Act take effect September 1,
2004.