BILL ANALYSIS

Senate Research Center	S.B. 321
87R3076 BDP-F	By: Huffman
	Finance
	4/13/2021
	As Filed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

The Employees Retirement System of Texas (ERS) provides retirement benefits to over 117,000 people. Currently, the funded ratio for the ERS pension fund is 66 percent and the unfunded liability is approximately $14.7 billion.

S.B. 321 relates to state contributions to the ERS pension fund.

As proposed, S.B. 321 amends current law relating to the state contribution to the Employees Retirement System of Texas.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 815.403(a), Government Code, as follows:

(a)� Requires the state, during each fiscal year, to contribute to the Employees Retirement System of Texas (ERS):

(1)� an amount equal to 9.5 percent, rather than 7.4 percent, of the total compensation of all members of ERS for that year; and

(2) - (5) Makes no changes to these subdivisions.

SECTION 2. Effective date: September 1, 2021.