78R7181 SMJ-F
By: Ritter H.B. No. 2359
A BILL TO BE ENTITLED
AN ACT
relating to the programs and systems administered by the Employees
Retirement System of Texas.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 615.023, Government Code, is reenacted
to read as follows:
Sec. 615.023. PAYMENT TO SURVIVING MINOR CHILD. (a) The
state shall pay to the duly appointed or qualified guardian or other
legal representative of an eligible surviving minor child:
(1) $200 each month, if there is one surviving child;
(2) $300 each month, if there are two surviving
children; or
(3) $400 each month, if there are three or more
surviving children.
(b) A child's entitlement to assistance payable under this
section ends on the child's 18th birthday. At that time, payments
to any other surviving minor children shall be adjusted, as
necessary, to conform to the amounts payable under Subsection (a).
(c) A payment under this section is in addition to any
payment made under Section 615.022.
SECTION 2. Section 812.003(a), Government Code, is amended
to read as follows:
(a) Except as provided by Subsection (b), membership in the
employee class of the retirement system includes all employees and
appointed officers of every department, commission, board, agency,
or institution of the state except:
(1) independent contractors and their employees
performing work for the state; and
(2) persons disqualified from membership under
Section 812.201[; and
[(3) persons disqualified from membership under
Section 812.004].
SECTION 3. Section 812.203, Government Code, is amended to
read as follows:
Sec. 812.203. BENEFITS AFFECTED. (a) [(c) Time during
which retirement benefit payments are suspended as provided by this
section does not reduce the number of months payments are to be made
under an optional benefit plan providing for a specific amount of
benefits for a guaranteed number of months after retirement.
[(d)] If a retiree takes the oath for a position included in
the elected class of membership, the retirement system shall
suspend annuity payments to the person for service that was
credited in that class, until the person no longer holds that
position.
(b) Time during which annuity payments are suspended as
provided by this section does not reduce the number of months
payments are to be made under an optional benefit selection
providing for a specific amount of benefits for a guaranteed number
of months after retirement.
(c) [(e)] If a member who originally retired with service
credited at the time of that retirement only in the elected class of
membership again retires, the person at the time of subsequent
retirement may select an annuity based on service in the elected
class as if the person were retiring for the first time. If the
person selects an annuity under Section 814.108(c)(3) or (c)(4),
the retirement system shall reduce the number of months of
guaranteed payment by the number of months for which an annuity was
paid under the person's original retirement.
SECTION 4. The heading to Section 813.104, Government Code,
is amended to read as follows:
Sec. 813.104. ALTERNATIVE PAYMENTS AND METHODS TO ESTABLISH
OR REESTABLISH SERVICE CREDIT.
SECTION 5. Section 813.104, Government Code, is amended by
adding Subsection (e) to read as follows:
(e) The retirement system may provide for the electronic
filing of agreements to establish or reestablish service credit.
In this subsection, "electronic filing" has the meaning assigned by
Section 814.010(a).
SECTION 6. Subchapter A, Chapter 814, Government Code, is
amended by adding Section 814.010 to read as follows:
Sec. 814.010. ELECTRONIC FILING OF BENEFICIARY
DESIGNATION. (a) In this section, "electronic filing" means the
filing of data in the form of digital electronic signals
transformed by computer and stored on magnetic tape, optical disks,
or any other medium.
(b) A person entitled to designate a beneficiary under any
system or program administered by the retirement system may make
the designation by electronic filing under procedures adopted by
the retirement system.
SECTION 7. Section 814.104(b), Government Code, is amended
to read as follows:
(b) A member who is at least 55 years old and who has at
least 10 years of service credit as a commissioned peace officer
engaged in criminal law enforcement activities of the Department of
Public Safety, the Texas Alcoholic Beverage Commission, the State
Board of Pharmacy, or the Parks and Wildlife Department, [as an
employee of the Railroad Commission of Texas who is licensed by the
Commission on Law Enforcement Officer Standards and Education and
has served at least five years as an investigator for the oil field
theft detection division,] or as a custodial officer, is eligible
to retire and receive a service retirement annuity.
SECTION 8. Section 814.108(f), Government Code, is amended
to read as follows:
(f) The computation of an optional annuity must be made
without regard to the gender [sex] of the annuitant or designee
involved.
SECTION 9. Section 814.203, Government Code, is amended to
read as follows:
Sec. 814.203. CERTIFICATION OF DISABILITY. As soon as
practicable after an application for disability retirement is
filed, the medical board shall evaluate the medical and other
pertinent information regarding the member's application. If the
medical board finds that the member is mentally or physically
incapacitated for the further performance of duty and [,] that the
incapacity is likely to be permanent, [and that the member should be
retired,] the medical board shall issue a certification of
disability and submit it to the executive director.
SECTION 10. Section 814.603, Government Code, is amended to
read as follows:
Sec. 814.603. SUPPLEMENTAL PAYMENTS [ONE-TIME PAYMENT].
(a) The retirement system may [shall] make a supplemental payment
as provided by this section [Subsection (d)] to persons whose
annuities are described by Section 814.107, 814.207, 814.305, or
814.601(a) and that are based on service retirements, disability
retirements, or deaths. A [This] supplemental payment made under
this section is in addition to the regular monthly annuity payment.
[Each person who receives an annuity described by this subsection
is entitled to receive one payment equal to 10 percent of one
month's annuity payment for each fiscal year that preceded or
includes the effective date of the requirement or authorization
under Subsection (d) and in which the annuity has been paid. A
supplemental payment may not exceed 350 percent of a monthly
annuity.] Supplemental payments under this section [subsection]
must comply with Section 811.006.
(b) The board of trustees shall determine the amount and
timing of a supplemental payment made under this section and the
manner in which the payment is made.
(c) The retirement system shall pay any [the] supplemental
payment made under this section [provided by Subsection (a)] from
the retirement annuity reserve account and may transfer to that
account from the state accumulation account any portion of the
amount that exceeds the amount in the retirement annuity reserve
account available to finance this supplemental payment and that is
actuarially determined to be necessary to finance the supplemental
payment.
[(c) The board of trustees may adopt rules to implement the
payment, including rules that govern the timing of the supplemental
payment described by Subsection (a).
[(d) The retirement system shall make a supplemental
payment under this section in the fiscal year ending August 31,
1997. The board of trustees may by rule authorize similar
supplemental payments in succeeding fiscal years, if the payments
are in compliance with Section 811.006.]
SECTION 11. Section 815.008(c), Government Code, is amended
to read as follows:
(c) If the executive director has knowledge that a potential
ground for removal exists, the executive director shall notify the
presiding officer [chairman] of the board of the ground. The
presiding officer [chairman] shall then notify the appropriate
appointing officer, if any, that a potential ground for removal
exists.
SECTION 12. Section 815.201, Government Code, is amended to
read as follows:
Sec. 815.201. PRESIDING OFFICER [CHAIRMAN]. The board of
trustees shall elect a presiding officer from the membership
[chairman. The chairman must be a member] of the board.
SECTION 13. Section 815.202(c), Government Code, is amended
to read as follows:
(c) To be eligible to serve as the executive director, a
person must:
(1) be a citizen of the United States and have been a
resident [citizen] of the state for the three years immediately
preceding the person's appointment; and
(2) have executive ability and experience to carry out
the duties of the office.
SECTION 14. Section 815.207(b), Government Code, is amended
to read as follows:
(b) The comptroller shall pay money from the funds of the
retirement system on warrants drawn by the comptroller supported
only on vouchers signed by the executive director and the presiding
officer [chairman] of the board of trustees or their authorized
representatives.
SECTION 15. Section 838.103(b), Government Code, is amended
to read as follows:
(b) A member eligible to establish military service credit
is one who:
(1) [currently contributes to the retirement system;
[(2)] has at least eight years of service credit in the
retirement system;
(2) [(3)] does not receive and is not eligible to
receive federal retirement payments based on 20 years or more of
active federal military duty or its equivalent; and
(3) [(4)] has been released from military duty under
conditions not dishonorable.
SECTION 16. Section 838.106(a), Government Code, is amended
to read as follows:
(a) A [contributing] member may establish service credit in
the retirement system for any calendar year during which the
member:
(1) held an office included in the membership of the
retirement system; or
(2) was eligible to take the oath for an office
included in the membership of the retirement system.
SECTION 17. Section 1551.102(d), Insurance Code, as
effective June 1, 2003, is amended to read as follows:
(d) An individual is eligible to participate in the group
benefits program as provided by Subsection (a) if the individual:
(1) retires under the optional retirement program
established by Chapter 830, Government Code; and
(2) receives or is eligible to receive an annuity
under that program and the individual[:
[(A)] would have been eligible to retire and
receive a service or 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
[(B) is disabled as determined by the Employees
Retirement System of Texas].
SECTION 18. The change in law made by this Act to Section
1551.102(d), Insurance Code, applies only to a person who was not
participating in the program provided by Chapter 1551, Insurance
Code, as an annuitant on the effective date of this Act.
SECTION 19. The following laws are repealed:
(1) Section 805.002(e), Government Code;
(2) Section 812.004, Government Code;
(3) Section 813.504(b), Government Code;
(4) Section 814.1041, Government Code;
(5) Section 815.502, Government Code; and
(6) Section 3(b), Chapter 22, Acts of the 57th
Legislature, 3rd Called Session, 1962 (Article 6228a-5, Vernon's
Texas Civil Statutes).
SECTION 20. This Act takes effect September 1, 2003.