Honorable Joan Huffman, Chair, Senate Committee on State Affairs
FROM:
Ursula Parks, Director, Legislative Budget Board
IN RE:
SB1939 by Huffman (Relating to contributions to, benefits from, membership in, and the administration of systems and programs administered by the Teacher Retirement System of Texas.), Committee Report 1st House, Substituted
No significant fiscal implication to the State is anticipated.
The bill would amend the Government Code to make certain technical changes relating to Internal Revenue Code provisions applicable to the Teacher Retirement System of Texas (TRS). Additionally, the bill would make certain clarifying and administrative changes relating to the disclosure and audit of member records, amend provisions relating to confidentiality, service credit, post-retirement benefit options, transfer of assets, and terms of office for certain trustees under special circumstances. The bill would make other non-substantive changes pertaining to Education Code and Insurance Code provisions relating to TRS. The bill would take effect on September 1, 2015.
According to the State Pension Review Board, the bill would not have an actuarial impact on TRS because it does not propose to change the benefit structure, funding or obligations of the system.
According to the Texas Higher Education Coordinating Board (THECB), the bill would result in minimal costs to THECB due to a provision related to estimating appropriations for the Optional Retirement Program. However, this analysis assumes the cost could be absorbed in the agency's available resources.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies:
323 Teacher Retirement System, 304 Comptroller of Public Accounts, 701 Central Education Agency, 781 Higher Education Coordinating Board