81R3155 TJS-D
 
  By: Herrero H.B. No. 688
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the election of certain members of the board of trustees
  of the Teacher Retirement System of Texas.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 821.001(5), Government Code, is amended
  to read as follows:
               (5)  "Board of trustees" means the board appointed or
  elected under this subtitle to administer the retirement system.
         SECTION 2.  The heading to Section 825.002, Government Code,
  is amended to read as follows:
         Sec. 825.002.  APPOINTMENT AND ELECTION OF TRUSTEES
  [APPOINTED BY GOVERNOR].
         SECTION 3.  Sections 825.002(a), (d), (f), and (g),
  Government Code, are amended to read as follows:
         (a)  The governor shall appoint, with the advice and consent
  of the senate and as provided by this section, six [seven] members
  of the board of trustees.
         (d)  Persons who have retired and are receiving benefits from
  the retirement system [The governor] shall elect under rules
  adopted by the board [appoint] one member of the board who must be a
  [from a slate of three] former member [members] of the retirement
  system who is [have] retired and [are] receiving benefits from the
  retirement system [and who have been nominated in accordance with
  Subsections (f) and (g) by the persons who have retired and are
  receiving benefits from the retirement system].
         (f)  Persons considered for nomination under Subsection
  (c)[, (d),] or (e) must have been nominated by written ballot at an
  election conducted under rules adopted by the board of trustees.
         (g)  To provide for the election [nomination] of persons [for
  appointment] under Subsection (d), the board shall send to each
  retiree of the retirement system:
               (1)  notice of the deadline for filing as a candidate
  for election [nomination];
               (2)  information on procedures to follow in filing as a
  candidate; and
               (3)  a written ballot.
         SECTION 4.  Sections 825.0032(a) and (b), Government Code,
  are amended to read as follows:
         (a)  Except as provided by Subsection (b), a person is not
  eligible for appointment or election to the board if the person or
  the person's spouse:
               (1)  is employed by or participates in the management
  of a business entity or other organization receiving funds from the
  retirement system;
               (2)  owns or controls, directly or indirectly, more
  than a 10 percent interest in a business entity or other
  organization receiving funds from the retirement system; or
               (3)  uses or receives a substantial amount of tangible
  goods, services, or funds from the retirement system, other than
  compensation or reimbursement authorized by law for board
  membership, attendance, or expenses.
         (b)  Subsection (a) does not apply to employment by,
  participation in the management of, or ownership or control of an
  interest in a business entity or other organization on behalf of the
  retirement system. Subsection (a)(3) does not apply to a person who
  is nominated for appointment under Section 825.002(c)[, (d),] or
  (e) or who is elected under Subsection 825.002(d).
         SECTION 5.  Sections 825.0041(a) and (c), Government Code,
  are amended to read as follows:
         (a)  A person who is appointed or elected to and qualifies
  for office as a member of the board of trustees may not vote,
  deliberate, or be counted as a member in attendance at a meeting of
  the board until the person completes a training program that
  complies with this section.
         (c)  A person appointed or elected to the board of trustees
  is entitled to reimbursement under Section 825.007 for the travel
  expenses incurred in attending the training program regardless of
  whether the attendance at the program occurs before or after
  the  person qualifies for office.
         SECTION 6.  Section 825.009(a), Government Code, is amended
  to read as follows:
         (a)  A trustee who is elected under Section 825.002 or who is
  appointed from a slate of members nominated by members of the
  retirement system under Section 825.002 is entitled to leave with
  pay from the trustee's public school employer to attend to the
  official business of the retirement system.
         SECTION 7.  Sections 825.010(a) and (c), Government Code,
  are amended to read as follows:
         (a)  It is a ground for removal from the board that a trustee:
               (1)  does not have at the time of taking office the
  qualifications required for the trustee's position;
               (2)  does not maintain during service on the board the
  qualifications required for the trustee's position;
               (3)  violates a prohibition established by Section
  825.002(b) or 825.0032;
               (4)  cannot because of illness or disability discharge
  the trustee's duties for a substantial part of the term for which
  the trustee is appointed or elected; or
               (5)  is absent from more than half of the regularly
  scheduled board meetings that the person is eligible to attend
  during a calendar year without an excuse approved by a majority vote
  of the board.
         (c)  If the executive director has knowledge that a potential
  ground for removal exists, the executive director shall notify the
  presiding officer of the board of the ground. The presiding officer
  shall then notify the appropriate appointing officer, if any, and
  the attorney general that a potential ground for removal exists. If
  the potential ground for removal involves the presiding officer,
  the executive director shall notify the next highest officer of the
  board, who shall notify the appropriate appointing officer, if any,
  and the attorney general that a potential ground for removal
  exists.
         SECTION 8.  (a) Section 825.002, Government Code, as amended
  by this Act, applies only to the appointment or election of a member
  of the board of trustees of the Teacher Retirement System of Texas
  that occurs on or after the effective date of this Act.
         (b)  The change in the manner of appointing or electing
  members of the board does not affect the appointment of members
  serving on the board before the effective date of this Act.
         SECTION 9.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2009.