Bill Text: TX HB1756 | 2015-2016 | 84th Legislature | Enrolled
Bill Title: Relating to the board of trustees of and distribution of certain benefits by a retirement system for firefighters in certain municipalities.
Spectrum: Slight Partisan Bill (Democrat 3-1)
Status: (Passed) 2015-05-28 - Effective on 9/1/15 [HB1756 Detail]
Download: Texas-2015-HB1756-Enrolled.html
H.B. No. 1756 |
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relating to the board of trustees of and distribution of certain | ||
benefits by a retirement system for firefighters in certain | ||
municipalities. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 2.03(b), Chapter 183 (S.B. 598), Acts of | ||
the 64th Legislature, Regular Session, 1975 (Article 6243e.1, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
(b) Between November 1 of each year and the first Monday in | ||
January of the following year, the board of trustees shall hold an | ||
election to elect one member of the board of trustees. If only one | ||
firefighter or retiree is nominated for a position under Subsection | ||
(c) of this section, instead of holding an election, the board of | ||
trustees may appoint the sole nominated candidate at the first | ||
board meeting in January. The board shall adopt procedures for the | ||
appointment of a sole nominated candidate under this subsection. A | ||
board member appointed under this subsection is considered elected | ||
for purposes of this Act. | ||
SECTION 2. Section 7.09, Chapter 183 (S.B. 598), Acts of the | ||
64th Legislature, Regular Session, 1975 (Article 6243e.1, Vernon's | ||
Texas Civil Statutes), is amended by adding Subsection (d) to read | ||
as follows: | ||
(d) The board of trustees may adopt rules to establish | ||
procedures for and requirements governing a member's designation of | ||
a beneficiary under this section. | ||
SECTION 3. Section 8.05, Chapter 183 (S.B. 598), Acts of the | ||
64th Legislature, Regular Session, 1975 (Article 6243e.1, Vernon's | ||
Texas Civil Statutes), is amended by adding Subsection (d) to read | ||
as follows: | ||
(d) The board of trustees may adopt rules that modify the | ||
availability of distributions under Subsection (a) of this section, | ||
provided that the modifications do not: | ||
(1) impair the distribution rights under that | ||
subsection; or | ||
(2) cause distributions to occur later than required | ||
under Section 401(a)(9), Internal Revenue Code of 1986. | ||
SECTION 4. Sections 8.07(b), (c), and (d), Chapter 183 | ||
(S.B. 598), Acts of the 64th Legislature, Regular Session, 1975 | ||
(Article 6243e.1, Vernon's Texas Civil Statutes), are amended to | ||
read as follows: | ||
(b) If a member who participates in the DROP dies before | ||
distribution of the member's entire DROP account [ |
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distributions to the designated beneficiary will begin not more | ||
than one year after the date of the member's death and shall be made | ||
either as a single-payment distribution of the member's DROP | ||
account balance or in not more than four equal annual installments | ||
over a period of not more than 37 months. | ||
(c) [ |
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receive distributions from the member's DROP account or if the | ||
person so designated does not survive the member by at least 72 | ||
hours, the member's DROP account shall be distributed in a | ||
single-sum payment as soon as administratively possible after the | ||
member's death to any surviving spouse who survives the member by at | ||
least 72 hours, if any, or to the member's estate if there is no | ||
surviving spouse. | ||
SECTION 5. Section 9.04(a-2), Chapter 183 (S.B. 598), Acts | ||
of the 64th Legislature, Regular Session, 1975 (Article 6243e.1, | ||
Vernon's Texas Civil Statutes), is amended to read as follows: | ||
(a-2) The collective adjustment amount described by | ||
Subsection (a-1) of this section: | ||
(1) is an amount equal to the actuarial value, as | ||
determined by the board's actuary based on the interest and | ||
mortality assumptions adopted by the board of trustees for the most | ||
recent actuarial valuation of the fund, of the percentage increase | ||
in the Consumer Price Index for All Urban Consumers as determined by | ||
the United States Department of Labor for the applicable | ||
determination period ending in a calendar month that precedes by | ||
not more than four months the month in which [ |
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multiplied by the total amount of benefits payable in the month | ||
immediately preceding the date an adjustment is to take effect to | ||
persons who are eligible to receive an adjustment under this | ||
section; and | ||
(2) if applicable: | ||
(A) is reduced by an amount that the board's | ||
actuary determines is necessary to maintain the financial stability | ||
of the fund; or | ||
(B) is increased in accordance with Subsection | ||
(b) of this section. | ||
SECTION 6. The board of trustees of a retirement system | ||
subject to this Act shall adopt procedures required under Section | ||
2.03(b), Chapter 183 (S.B. 598), Acts of the 64th Legislature, | ||
Regular Session, 1975 (Article 6243e.1, Vernon's Texas Civil | ||
Statutes), as amended by this Act, before a sole nominated | ||
candidate may be appointed to the board of trustees. | ||
SECTION 7. This Act takes effect September 1, 2015. | ||
______________________________ | ______________________________ | |
President of the Senate | Speaker of the House | |
I certify that H.B. No. 1756 was passed by the House on April | ||
16, 2015, by the following vote: Yeas 146, Nays 0, 2 present, not | ||
voting. | ||
______________________________ | ||
Chief Clerk of the House | ||
I certify that H.B. No. 1756 was passed by the Senate on May | ||
15, 2015, by the following vote: Yeas 31, Nays 0. | ||
______________________________ | ||
Secretary of the Senate | ||
APPROVED: _____________________ | ||
Date | ||
_____________________ | ||
Governor |