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A BILL TO BE ENTITLED
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AN ACT
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relating to participation in a deferred retirement option plan by |
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members of the retirement systems for police and fire fighters in |
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certain municipalities. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 6.14(c), Article 6243a-1, Revised |
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Statutes, is amended to read as follows: |
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(c) Each month after a member has made an election to |
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participate in the DROP and indicated a desire to receive a |
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retirement pension under Sections 6.01(b) and (c), Section 6.01(e), |
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or Section 6.02(b), (c), (d), or (e) of this article, whichever is |
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applicable, and through the month before the month in which the |
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member leaves active service, an amount equal to the retirement |
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pension the member would have received under the applicable |
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subsection for that month if the member had left active service and |
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been granted a retirement pension by the board on the effective date |
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of DROP participation shall be credited to a separate DROP account |
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maintained within the fund for the benefit of the member. Amounts |
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held in the DROP account of a member shall be credited at the end of |
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each calendar month. Notwithstanding this section, effective |
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January 1, 2018, a member on active service who has 20 [10] years or |
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more of participation in DROP shall no longer have the amount of the |
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member's retirement pension credited to the member's DROP account |
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while the member is on active service. |
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SECTION 2. Section 6.14(c), Article 6243a-1, Revised |
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Statutes, as amended by this Act, applies to a member who |
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participates in the deferred retirement option plan established |
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under that section regardless of whether the member began |
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participation in the plan before, on, or after the effective date of |
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this Act. |
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SECTION 3. This Act takes effect September 1, 2023. |