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Amend CSSB 1370 (Senate committee printing) as follows:                      
	(1)  Strike SECTION 1.01 of the bill (page 1, lines 16-21).                    
	(2)  In SECTION 1.02 of the bill, strike amended Section 
2(a), Article 3.50-8, Insurance Code (page 1, lines 25-35), and 
substitute:
	(a)  Each year, the trustee shall deliver to each school 
district, including a school district that is ineligible for state 
aid under Chapter 42, Education Code, each other educational 
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 professional staff, multiplied by 
$500 [$1,000] or a greater amount as provided by the General 
Appropriations Act for purposes of this article; 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 professional staff, multiplied by 
$250 or a greater amount as provided by the General Appropriations 
Act for purposes of this article.
	(3)  In SECTION 2.03 of the bill, in amended Section 
1551.102(a), Insurance Code (page 2, lines 28-29), strike "in 
accordance with this section".
	(4)  In SECTION 2.04 of the bill, in amended Section 
1551.102(d)(2), Insurance Code, strike Paragraph (A) (page 3, lines 
12-17) and substitute the following:
(A)  is at least 65 years of age, or would have 
been eligible to retire and receive a service retirement annuity 
from the Teacher Retirement System of Texas or the Employees 
Retirement System of Texas in an amount such that the sum of the 
person's age and amount of service credit, including months of age 
and credit, equals or exceeds the number 80 or would have been 
eligible to retire and receive a disability retirement annuity from 
the Teacher Retirement System of Texas or the Employees Retirement 
System of Texas, [based on at least 10 years of service credit] if 
the individual had not elected to participate in the optional 
retirement program; or
	(5)  In SECTION 2.10 of the bill, in the recital (page 4, line 
57), strike "Subsection (c)" and substitute "Subsections (c) and 
(d)".
	(6)  In SECTION 2.10 of the bill, in added Section 
1551.319(c), Insurance Code (page 4, line 64), strike "section" and 
substitute "chapter".
	(7)  Following SECTION 2.10 of the bill (page 4, between 
lines 64 and 65), insert:
	(d)  This section does not prohibit an institution of higher 
education from contributing, from money not appropriated from the 
general revenue fund, amounts in excess of the state contribution 
for a part-time employee described by Section 1551.101(e)(2).
	(8)  In ARTICLE 3 of the bill, following the heading of the 
article (page 5, between lines 1 and 2), insert the following new 
SECTION, appropriately numbered:
	SECTION 3.____.  Section 1575.002, Insurance Code, as 
effective June 1, 2003, is amended by repealing Subdivision (2), 
amending Subdivisions (1), (3), (4), and (7) and adding Subdivision 
(6-a) to conform to Section 3.03, Chapter 1187, Acts of the 77th 
Legislature, Regular Session, 2001, and to conform more closely to 
the source law from which the section was derived, and further 
amended to read as follows:
(1)  "Active employee" means a contributing member of 
the Teacher Retirement System of Texas [an employee as defined by 
Section 821.001, Government Code,] who:
(A)  is employed by a public school [a member of 
the system]; and
(B)  is not entitled to coverage under a plan 
provided under Chapter 1551 or 1601.
(3)  "Carrier" means an insurance company or hospital 
service corporation authorized by the department under this code or 
another insurance law of this state to provide any of the insurance 
coverages, benefits, or services provided by this chapter.
(4)  "Fund" means the retired [Texas public] school 
employees group insurance fund.
(6-a)  "Public school" means:                                            
(A)  a school district;                                                  
(B)  another educational district whose 
employees are members of the Teacher Retirement System of Texas;
(C)  a regional education service center 
established under Chapter 8, Education Code; or
(D)  an open-enrollment charter school 
established under Subchapter D, Chapter 12, Education Code.
(7)  "Trustee" ["System"] means the Teacher 
Retirement System of Texas.
	(9)  In SECTION 3.02 of the bill, strike amended Section 
1575.204, Insurance Code (page 5, lines 9-19), and substitute:
	Sec. 1575.204.  PUBLIC SCHOOL CONTRIBUTION [RATIO OF STATE 
AND ACTIVE EMPLOYEE CONTRIBUTIONS].  Each state fiscal year, each 
public school shall contribute to the fund the amount prescribed by 
the General Appropriations Act, which may not be less than 0.25 
percent or greater than 0.75 percent of the salary of each active 
employee of the public school.  The public school shall make the 
contributions on a monthly basis and as otherwise prescribed by the 
trustee [If the amount of state and active employee contributions 
to the fund is raised by the legislature above the percentages 
provided by Sections 1575.202 and 1575.203 to provide adequate 
funding for the group program, the ratio between the state's 
contribution and the active employees' contributions must be 
maintained at two to one].
	(10)  In SECTION 4.04 of the bill, in amended Section 
1601.201(c), Insurance Code, between "the system" and "may 
contribute" (page 6, line 14), insert:  ", from money appropriated 
from the general revenue fund,".
	(11)  In SECTION 4.04 of the bill, in amended Section 
1601.201(c), Insurance Code, between "coverage" and "[shall" (page 
6, line 18), insert:

.                                                                      
	(d)  Subsection (c) does not prohibit a system from 
contributing, from money not appropriated from the general revenue 
fund, amounts in excess of the amount specified by that subsection 
for an individual employed by the system in a position that as a 
condition of employment requires the individual to be enrolled as a 
student in the system in graduate level courses
	(12)  Renumber SECTIONS of the bill accordingly.