LEGISLATIVE BUDGET BOARD

Austin, Texas

FISCAL NOTE, 79TH LEGISLATIVE REGULAR SESSION

April 13, 2005

TO:	Honorable Craig Eiland, Chair, House Committee on Pensions & Investments
FROM:	John S. O'Brien, Deputy Director, Legislative Budget Board
IN RE:	HB1079 by West, George "Buddy" (Relating to the eligibility of certain judges to retire with full benefits.), As Introduced

No significant fiscal implication to the State is anticipated.

The bill would allow judges in the Judicial Retirement System Plan II (JRS II) to retire after 20 years of service regardless of age, if they held judicial office before January 1, 2000. Currently, judges with 20 years of service may retire only after age 55 unless they are appellate judges who meet certain criteria. The JRS II actuary estimates the proposal will increase the normal cost and actuarial accrued liability by relatively small amounts, which will increase long-term costs of the system, but no increase in the state contribution would be required.

The bill would take effect September 1, 2005.

Local Government Impact

No fiscal implication to units of local government is anticipated.

Source Agencies:

327 Employees Retirement System

LBB Staff:

JOB, SR, WM, WP