LEGISLATIVE BUDGET BOARD
Austin, Texas
 
ACTUARIAL IMPACT STATEMENT
 
79TH LEGISLATIVE REGULAR SESSION
 
May 1, 2005

TO:
Honorable Florence Shapiro, Chair, Senate Committee on Education
 
FROM:
John S. O'Brien, Deputy Director, Legislative Budget Board
 
IN RE:
HB2 by Grusendorf (Relating to public education, public school finance matters, and the imposition of a state ad valorem tax; imposing criminal penalties. ), Committee Report 2nd House, Substituted

The bill would make changes relating to public education and public school finance. It would make changes to the minimum salary schedule applicable to public school teachers and certain other personnel, and add an increase in pay for these personnel of up to $3,500 by 2007, contingent on the passage of H.B. 3 and a constitutional amendment. Additional amounts would be available for incentive payments. If the full increases are granted, they would still be less than an overall annual 4 percent increase for eligible personnel from 2004. Since an annual 4 percent pay raise is part of the actuarial assumptions, the bill is estimated to not have a significant actuarial impact on the Teacher Retirement System relative to the 2004 actuarial valuation.


Source Agencies:
LBB Staff:
JOB, WM