BILL ANALYSIS

H.B. 1239

By: Parker

Pensions, Investments & Financial Services

Committee Report (Unamended)

BACKGROUND AND PURPOSE

There are concerns that the public school employees group benefits program operated by the Teacher Retirement System of Texas (TRS) has faced tremendous budget shortfalls in recent years and despite previous measures to address this issue the program is facing another potential shortfall in the next biennium. There have been calls to pursue alternative policy solutions to stabilize the program. H.B. 1239 seeks to answer these calls by requiring TRS to conduct a study to evaluate the use of health reimbursement accounts in conjunction with Medicare plans available through the individual marketplace as a means to provide health benefit coverage under the program for Medicare-eligible retired school employees and their spouses.  

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1239 requires the Teacher Retirement System of Texas (TRS) to conduct a study to evaluate the use of health reimbursement accounts in conjunction with Medicare plans available through the individual marketplace as a means to provide health benefit coverage under the Texas Public School Retired Employees Group Benefits Act for Medicare-eligible retired school employees and their spouses and sets out required considerations for the study. The bill requires TRS, not later than January 1, 2020, to submit to the governor, lieutenant governor, speaker of the house of representatives, and Legislative Budget Board a written report of the study conducted under the bill's provisions and requires the report to include the findings and legislative recommendations of TRS. These provisions expire January 1, 2021.

EFFECTIVE DATE

On passage, or, if the bill does not receive the necessary vote, September 1, 2019.