Honorable Dan Flynn, Chair, House Committee on Pensions
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
HB681 by Sheets (Relating to the eligibility for service retirement annuities of certain persons, including elected officials convicted of certain crimes.), As Introduced
No significant fiscal implication to the State is anticipated.
The bill would amend Government Code to make certain elected members ineligible to receive a service retirement annuity if convicted of a qualifying felony. The bill would also repeal Article 6220 of the Texas Revised Statutes.
The Employees Retirement System (ERS) indicates that although the retirement fund would lose the liability of having to pay these members' future annuities, creating some savings to the fund, the bill is not anticipated to have a significant impact on the fund due to the relatively small number of individuals assumed to be affected by it. The bill would require ERS to resume payment of annuity if the conviction is overturned. ERS anticipates that any additional administrative costs associated with implementing the legislation could be absorbed within existing resources.
The bill would take effect on September 1, 2015 and would apply only to those elected members who commit a qualifying felony on or after this date.
Local Government Impact
No fiscal implication to units of local government is anticipated.