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A BILL TO BE ENTITLED
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AN ACT
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relating to audits of public retirement system actuarial |
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valuations, studies, and reports. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter B, Chapter 802, Government Code, is |
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amended by adding Section 802.1012 to read as follows: |
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Sec. 802.1012. AUDITS OF ACTUARIAL VALUATIONS, STUDIES, AND |
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REPORTS. (a) Every five years, the actuarial valuations, studies, |
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and reports of a public retirement system prepared in the preceding |
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five years for the retirement system as required by Section 802.101 |
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or other law under this title or under Title 109, Revised Statutes, |
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must be audited by an independent actuary who: |
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(1) is engaged for the purpose of this audit by the |
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governmental entity that is the employer of the active members of |
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the retirement system; and |
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(2) has the credentials required for an actuary under |
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Section 802.101(d). |
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(b) The independent actuary shall discuss the preliminary |
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results of an audit conducted under Subsection (a) with the |
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retirement system audited before issuing a final audit report. |
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(c) The governmental entity under Subsection (a) shall: |
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(1) maintain a copy of the final audit report at its |
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main office for public inspection; and |
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(2) submit a copy of the final audit report to the |
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retirement system and the State Pension Review Board not later than |
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the 30th day after the date the final audit report is accepted by |
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the governmental entity. |
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(d) This section does not apply to the Employees Retirement |
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System of Texas, the Teacher Retirement System of Texas, the Texas |
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County and District Retirement System, the Texas Municipal |
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Retirement System, or the Judicial Retirement System of Texas Plan |
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Two. |
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SECTION 2. The first audit required under Section 802.1012, |
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Government Code, as added by this Act, must: |
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(1) be conducted not later than September 1, 2008; and |
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(2) include an audit of each actuarial valuation, |
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study, and report of the public retirement system that was prepared |
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for that retirement system in the preceding five years. |
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SECTION 3. This Act takes effect September 1, 2007. |