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A BILL TO BE ENTITLED
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AN ACT
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relating to employer contributions for certain retirees under the |
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Teacher Retirement System of Texas who are employed by a school |
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district affected by base realignment and closure. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 825.4092, Government Code, is amended by |
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amending Subsections (b) and (c) and adding Subsection (f) to read |
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as follows: |
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(b) Except as provided by Subsections [Subsection] (e) and |
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(f), during each payroll period for which a retiree is reported, the |
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employer shall contribute to the retirement system for each retiree |
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reported an amount based on the retiree's salary equal to the sum |
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of: |
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(1) the current contribution amount that would be |
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contributed by the retiree if the retiree were an active, |
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contributing member; and |
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(2) the current contribution amount authorized by the |
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General Appropriations Act that the state would contribute for that |
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retiree if the retiree were an active, contributing member. |
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(c) Except as provided by Subsections [Subsection] (e) and |
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(f), each payroll period, for each retiree who is enrolled in the |
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Texas Public School Employees Group Insurance Program under Chapter |
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1575, Insurance Code, the employer who reports the employment of a |
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retiree shall contribute to the trust fund established under that |
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chapter any difference between the amount the retiree is required |
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to pay for the retiree and any enrolled dependents to participate in |
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the group program and the full cost of the retiree's and enrolled |
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dependents' participation in the group program, as determined by |
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the retirement system. If more than one employer reports the |
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retiree to the retirement system during a month, the amount of the |
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required payment shall be prorated among the employers. |
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(f) The amounts required to be paid under Subsections (b) |
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and (c) are not required to be paid by a school district that has |
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been required to expand classroom facilities to accommodate an |
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increased number of students resulting from the United States |
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Department of Defense base realignment and closure process. The |
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total number of employed retirees subject to the exemption |
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established by this subsection may not exceed 500 and, if |
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necessary, the board of trustees shall by rule establish a method to |
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equitably allocate that number to each school district described by |
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this subsection. This subsection expires December 31, 2011. |
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SECTION 2. Section 1575.204, Insurance Code, is amended by |
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adding Subsection (c) to read as follows: |
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(c) The amounts required to be paid under Subsection (b) are |
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not required to be paid by a school district that has been required |
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to expand classroom facilities to accommodate an increased number |
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of students resulting from the United States Department of Defense |
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base realignment and closure process. The total number of employed |
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retirees subject to the exemption established by this subsection |
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may not exceed 500 and, if necessary, the board of trustees shall by |
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rule establish a method to equitably allocate that number to each |
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school district described by this subsection. This subsection |
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expires December 31, 2011. |
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SECTION 3. This Act takes effect September 1, 2007. |