By: Rodriguez H.B. No. 1979

A BILL TO BE ENTITLED

AN ACT

relating to retirement under public retirement systems for employees of certain municipalities.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Section 2(32), (33), Chapter 834, Acts of the 76th Legislature, Regular Session, 1999 (Article 6243n, Vernon's Texas Civil Statutes) are amended to read as follows:

(32) "Normal retirement age" means:

(A) age 62; [or]

(B) 55 years of age with 20 years of creditable service; or

(C) 23 years of creditable service, regardless of years of age.

(33) "Normal retirement date" means the earlier of the date a member attains a normal retirement age or the date on which the member has completed 23 [25] years of creditable service or a lesser number of years of creditable service established by the retirement board under Section 10(g) of this Act.

SECTION 2. Section 9(p), Chapter 834, Acts of the 76th Legislature, Regular Session, 1999 (Article 6243n, Vernon's Texas Civil Statutes), is amended to read as follows:

(p) A member who retires after reaching normal retirement age and continues or resumes employment with the employer in a position that is required to participate in another retirement system is entitled to continue to receive the retirement allowance paid under this article. A retired member who resumes regular full-time employment with an employer in a position that is not required to participate in another retirement system sponsored by the employer automatically resumes membership as an active contributory member, and the retirement board shall terminate the person's retirement allowance. The retirement allowance of a retired member shall be suspended if the member is employed by an employer in a position in which the employee is required to participate in the retirement system for at least six months of any consecutive 12 calendar months and works, is budgeted, or is compensated for more than 29 hours in a calendar week. When the person again retires, the retirement system shall compute the benefit based on service before and after the initial retirement. The resulting benefit is reduced actuarially to reflect the value of the benefits received before the resumption of full-time employment.

SECTION 3. 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 October 1, 2009.