78(R) HB 2169 - Senate Committee Report version


                                                                                


By:  Telford, et al. (Senate Sponsor - Shapiro)                   H.B. No. 2169
	(In the Senate - Received from the House April 25, 2003; 
April 29, 2003, read first time and referred to Committee on 
Education; May 19, 2003, reported favorably, as amended, by the 
following vote:  Yeas 6, Nays 0; May 19, 2003, sent to printer.)


COMMITTEE AMENDMENT NO. 1                                                By:  Shapiro

	Amend H.B. No. 2169 by adding the following appropriately 
numbered SECTIONS to the bill and renumbering subsequent SECTIONS 
of the bill accordingly:
	SECTION ___.  Subchapter A, Chapter 822, Government Code, is 
amended by adding Section 822.0015 to read as follows:
	Sec. 822.0015.  OPTIONAL MEMBERSHIP FOR CERTAIN OFFICIALS.  
(a)  In lieu of participating in the Employees Retirement System of 
Texas, the commissioner of education may elect to participate in 
the retirement system in the same manner and under the same 
conditions as a member who is an employee of the public school 
system.
	(b)  An election by the commissioner of education to 
participate in the retirement system must be on a form prescribed by 
the retirement system for that purpose.
	(c)  Notwithstanding Section 821.001, if the commissioner of 
education elects to participate in the retirement system, the State 
Board of Education is the employer of the commissioner for purposes 
of this subtitle.
	SECTION ___.  (a)  Notwithstanding Section 830.106, 
Government Code, a commissioner of education who is a participant 
in the optional retirement program under Chapter 830, Government 
Code, on the effective date of this Act may make a one-time election 
to cease active participation in the program and become a member of 
the Teacher Retirement System of Texas under Section 822.0015, 
Government Code, as added by this Act, on or after that date.
	(b)  A commissioner of education who makes the one-time 
election under Subsection (a) of this section is not eligible to 
again participate in the optional retirement program under Chapter 
830, Government Code, after making the election.


A BILL TO BE ENTITLED

AN ACT


relating to the payment of retirement benefits to retirees who are 
employed by certain public educational institutions.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 824.601, Government Code, is amended to 
read as follows: 
	Sec. 824.601.  LOSS OF MONTHLY BENEFITS.  (a)  In this 
section, "third-party entity" means an entity retained by a Texas 
public educational institution to provide personnel to the  
institution that perform duties or provide services that employees 
of the institution would otherwise perform or provide.
	(b)  Except as provided by Section 824.602, a retiree is not 
entitled to service or disability retirement benefit payments, as 
applicable, for any month in which the retiree is employed in any 
position by a Texas public educational institution.
	(c)  A Texas public educational institution, for the purposes 
of this subchapter, is any entity included in the definition of 
"employer" or "public school" in Section 821.001 or any entity in 
whose employment the retiree has earned credit as a member of the 
retirement system.
	(d)  A retiree who is an employee of a third-party entity is 
considered to be employed by a Texas public educational institution 
for purposes of this subchapter unless the retiree does not  perform 
duties or provide services on behalf of or for the benefit of the 
institution.
	(e)  Loss of benefits under this section does not extend any 
period of guaranteed benefits elected pursuant to Section 824.204.
	(f)  The system may adopt rules necessary for administering 
this subchapter.
	SECTION 2.  The change in law made by Section 824.601, 
Government Code, as amended by this Act, applies only to the payment 
of retirement benefits to a retiree who is first employed by a 
third-party entity on or after April 22, 2003.  The payment of 
retirement benefits to a retiree who was first employed by a 
third-party entity before April 22, 2003, is governed by the law in 
effect before the effective date of this Act, and the former law is 
continued in effect for that purpose.
	SECTION 3.  This Act takes effect immediately if it 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 September 1, 2003.



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