Bill Text: TX HB2186 | 2021-2022 | 87th Legislature | Introduced
Bill Title: Relating to the state's contributions to the Employees Retirement System of Texas.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2021-03-15 - Referred to Appropriations [HB2186 Detail]
Download: Texas-2021-HB2186-Introduced.html
87R3526 JCG-F | ||
By: Gates | H.B. No. 2186 |
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relating to the state's contributions to the Employees Retirement | ||
System of Texas. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 815.403(a), Government Code, is amended | ||
to read as follows: | ||
(a) During each fiscal year, the state shall contribute to | ||
the retirement system: | ||
(1) an amount equal to 10 [ |
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compensation of all members of the retirement system for that year; | ||
(2) money to pay lump-sum death benefits for retirees | ||
under Section 814.501; | ||
(3) an amount for the law enforcement and custodial | ||
officer supplemental retirement fund equal to 2.13 percent of the | ||
aggregate state compensation of all custodial and law enforcement | ||
officers for that year; | ||
(4) money necessary for the administration of the law | ||
enforcement and custodial officer supplemental retirement fund; | ||
[ |
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(5) money for service credit not previously | ||
established, as provided by Section 813.202(c) or 813.302(d); and | ||
(6) an amount adopted by the board of trustees under | ||
Section 815.4031. | ||
SECTION 2. Subchapter E, Chapter 815, Government Code, is | ||
amended by adding Section 815.4031 to read as follows: | ||
Sec. 815.4031. ACTUARIALLY DETERMINED STATE CONTRIBUTION | ||
AMOUNT. (a) For the fiscal year beginning September 1, 2021, and | ||
for each subsequent fiscal year: | ||
(1) the actuary designated under Section 815.206 shall | ||
recommend to the board of trustees an actuarially determined | ||
contribution amount for review and adoption as the state | ||
contribution amount under Section 815.403(a)(6); and | ||
(2) the board shall adopt as the state contribution | ||
amount under Section 815.403(a)(6) the actuarially determined | ||
contribution amount recommended by the actuary under Subdivision | ||
(1). | ||
(b) For purposes of Subsection (a)(1), an actuarially | ||
determined contribution amount reflects the sum of: | ||
(1) the state's normal cost of projected benefits for | ||
the fiscal year; and | ||
(2) the state's portion of the total payment toward the | ||
unfunded actuarial accrued liabilities of the retirement system | ||
that is: | ||
(A) attributable to the fiscal year; and | ||
(B) sufficient to amortize the unfunded | ||
actuarial accrued liabilities of the system in a period that does | ||
not exceed 30 years by one or more years. | ||
(c) The actuarially determined contribution amount | ||
recommended by the actuary under Subsection (a)(1) must be based | ||
on: | ||
(1) reasonable actuarial assumptions and methods; | ||
(2) tables adopted by the board under Section 815.105; | ||
and | ||
(3) the funding policy adopted by the board under | ||
Section 802.2011. | ||
SECTION 3. This Act takes effect immediately if it receives | ||
a vote of two-thirds of all the members elected to each house, as | ||
provided by Section 39, Article III, Texas Constitution. If this | ||
Act does not receive the vote necessary for immediate effect, this | ||
Act takes effect September 1, 2021. |