Bill Text: TX HB388 | 2017 | 85th Legislature 1st Special Session | Introduced
Bill Title: Relating to the computation of the standard service retirement annuity for members of the Teacher Retirement System of Texas enrolled in the Texas Public School Employees Group Insurance Program.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2017-08-08 - Filed [HB388 Detail]
Download: Texas-2017-HB388-Introduced.html
85S11283 TSR-D | ||
By: Muñoz, Jr. | H.B. No. 388 |
|
||
|
||
relating to the computation of the standard service retirement | ||
annuity for members of the Teacher Retirement System of Texas | ||
enrolled in the Texas Public School Employees Group Insurance | ||
Program. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 824.203(a), Government Code, is amended | ||
to read as follows: | ||
(a) Except as provided by Subsections (c) and (d), and | ||
subject to Section 824.2035, the standard service retirement | ||
annuity is an amount computed on the basis of the member's average | ||
annual compensation for the five years of service, whether or not | ||
consecutive, in which the member received the highest annual | ||
compensation, times 2.3 percent for each year of service credit in | ||
the retirement system. | ||
SECTION 2. Subchapter C, Chapter 824, Government Code, is | ||
amended by adding Section 824.2035 to read as follows: | ||
Sec. 824.2035. STANDARD SERVICE RETIREMENT BENEFITS: | ||
ADJUSTMENT OF PERCENTAGE FACTOR. (a) In this section, "group | ||
program" and "health benefit plan" have the meanings assigned by | ||
Section 1575.002, Insurance Code. | ||
(b) The board of trustees shall: | ||
(1) study the out-of-pocket costs paid and projected | ||
to be paid by annuitants for health benefit plan coverage provided | ||
under the group program, including premiums, deductibles, and | ||
prescription drug costs; and | ||
(2) based on the board's findings under Subdivision | ||
(1) and notwithstanding any other law, by rule adopt a method or | ||
formula for increasing the percentage factor used in the | ||
computation of the standard service retirement annuity under | ||
Section 824.203(a) for annuitants enrolled in the group program in | ||
order to mitigate the impact projected out-of-pocket costs have on | ||
the annuitants' service retirement annuities. | ||
SECTION 3. Not later than December 31, 2018, the board of | ||
trustees of the Teacher Retirement System of Texas shall complete | ||
the study and adopt the rule required by Section 824.2035, | ||
Government Code, as added by this Act. | ||
SECTION 4. The changes in law made by this Act apply: | ||
(1) to a person who is an annuitant of the Teacher | ||
Retirement System of Texas on or after September 1, 2019, | ||
regardless of whether the person became an annuitant before, on, or | ||
after that date; and | ||
(2) beginning with the first annuity payable on or | ||
after September 1, 2019. | ||
SECTION 5. This Act takes effect December 1, 2017. |