| TO: | Honorable Vicki Truitt, Chair, House Committee on Pensions, Investments & Financial Services |
| FROM: | John S O'Brien, Director, Legislative Budget Board |
| IN RE: | HB3633 by Legler (Relating to participation in retirement programs by certain employees.), As Introduced |
HB 3633 would allow the Chief of the Texas Division of Emergency Management, a division of the Department of Public Safety, with a prior service in any public retirement system, to be eligible to participate in the Proportionate Retirement Program under Chapter 803 of the Government Code.
The purpose of the PRP under Chapter 803 is to provide a program of proportionate benefits to qualified members of more than one retirement system to which the said Chapter applies.
The Employee Retirement System of Texas (ERS) administers the retirement benefits for Department of Public Safety employees and participates in the PRP. As the proposal would allow the Chief of the Texas Division of Emergency Management to join the PRP regardless of which public retirement system that person had prior service established in and regardless of whether that system has opted into the PRP, the true actuarial impact of the proposal is not known. As the proposal only provides the change in current law for one position, it is unlikely to have a material actuarial impact. ERS did not provide an actuarial analysis of the bill.
| Source Agencies: | 338 Pension Review Board
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| LBB Staff: | JOB, WM
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