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:
HB1420 by Phillips (Relating to the release of certain information by the Teacher Retirement System of Texas to associations of retired school employees; providing a civil penalty.), As Introduced



Estimated Two-year Net Impact to General Revenue Related Funds for HB1420, As Introduced: an impact of $0 through the biennium ending August 31, 2007.

The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.



Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds
2006 $0
2007 $0
2008 $0
2009 $0
2010 $0




Fiscal Year Probable Savings/(Cost) from
TRS TRUST ACCOUNT FUND
960
2006 ($182,000)
2007 ($182,000)
2008 ($182,000)
2009 ($182,000)
2010 ($182,000)

Fiscal Analysis

The bill would create an exception to the prohibition that the Teacher Retirement System (TRS) may not release the names and addresses of participants except when necessary to administer the retirement system.  The bill would authorize TRS to release the names and addresses of TRS participants to nonprofit organizations that provide adequate organizational information. The bill would limit a nonprofit organization receiving a list of TRS participants to sending a single mailing to the list pertaining to the nature of the organization or membership opportunities to participants who are not organizational members or who do not request additional information.  The bill would impose a penalty for nonprofit organizations who violate the terms proposed by the bill.

The bill would take effect immediately upon receiving a two-thirds majority vote in both houses; otherwise, the bill would take effect September 1, 2005.


Methodology

For purposes of this estimate, it is assumed that the 260 local units of the state retired teachers' association would request updated lists annually.  At a cost of $700 per list, the estimated cost to the TRS Trust Fund associated with the provisions of the bill would be $182,000 annually.

Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
323 Teacher Retirement System
LBB Staff:
JOB, SR, UP, JSc