Bill Text: TX SB13 | 2013-2014 | 83rd Legislature | Introduced
Bill Title: Relating to the State Pension Review Board and public retirement systems; authorizing a fee.
Sponsorship: Partisan Bill (Republican 1)
Status: (Introduced - Dead) 2013-02-13 - Referred to State Affairs [SB13 Detail]
Download: Texas-2013-SB13-Introduced.html
| 83R5168 TJS-F | ||
| By: Duncan | S.B. No. 13 | |
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| relating to the State Pension Review Board and public retirement | ||
| systems; authorizing a fee. | ||
| BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
| SECTION 1. Subchapter C, Chapter 801, Government Code, is | ||
| amended by adding Sections 801.209, 801.210, and 801.211 to read as | ||
| follows: | ||
| Sec. 801.209. PUBLIC RETIREMENT SYSTEM REPORTS AND | ||
| INFORMATION. (a) For each public retirement system, the board | ||
| shall post on the board's Internet website, or on a publicly | ||
| available website that is linked to the board's website: | ||
| (1) the most recent data from each annual financial | ||
| report received by the board; | ||
| (2) the most recent data from each report on | ||
| investment returns and assumptions received by the board; and | ||
| (3) the name, business address, and business telephone | ||
| number of the administrator of the public retirement system. | ||
| (b) On the 60th day after the date a report or information | ||
| required by this chapter or Chapter 802 is due to the board, the | ||
| board shall post on the board's website a list of public retirement | ||
| systems that have not submitted the required reports or | ||
| information. | ||
| (c) For each retirement system included on the list posted | ||
| under Subsection (b), the board shall notify: | ||
| (1) the governor and the Legislative Budget Board | ||
| regarding the lack of a timely submission by the Employees | ||
| Retirement System of Texas, the Teacher Retirement System of Texas, | ||
| the Texas County and District Retirement System, the Texas | ||
| Municipal Retirement System, or the Judicial Retirement System of | ||
| Texas Plan Two; or | ||
| (2) the governing body of the political subdivision of | ||
| which members of the public retirement system are officers or | ||
| employees regarding the lack of a timely submission by a public | ||
| retirement system other than a system listed in Subdivision (1). | ||
| Sec. 801.210. MODEL ETHICAL STANDARDS AND | ||
| CONFLICT-OF-INTEREST POLICIES. (a) The board shall develop and | ||
| make reasonably accessible on the board's Internet website model | ||
| ethical standards and model conflict-of-interest policies, | ||
| including disclosure requirements, for voluntary use by a public | ||
| retirement system. | ||
| (b) A public retirement system is not required to adopt a | ||
| standard or policy based on the model developed under this section. | ||
| Sec. 801.211. PUBLIC RETIREMENT SYSTEM EDUCATIONAL | ||
| TRAINING PROGRAM. (a) The board shall develop and administer an | ||
| educational training program for trustees and administrators of | ||
| public retirement systems. | ||
| (b) The curriculum of the educational training program must | ||
| include minimum training requirements for board members and | ||
| administrators. The board shall develop a system to track | ||
| compliance with the minimum training requirements by board members | ||
| and administrators and shall report the level of compliance in the | ||
| biennial report required by Section 801.203. | ||
| (c) The curriculum of the educational training program | ||
| under this section may include optional training classes for | ||
| trustees, administrators, and employees of public retirement | ||
| systems. | ||
| (d) To the extent practicable, the board shall make training | ||
| classes reasonably accessible to trustees and administrators of | ||
| public retirement systems on an Internet website maintained for | ||
| that purpose. | ||
| (e) The board may adopt rules and appropriate fees to | ||
| administer and provide educational training programs under this | ||
| section. The net proceeds of the fees shall be deposited in the | ||
| State Pension Review Board fund. | ||
| SECTION 2. The heading to Section 802.107, Government Code, | ||
| is amended to read as follows: | ||
| Sec. 802.107. GENERAL PROVISIONS RELATING TO REPORTS AND | ||
| CONTACT INFORMATION. | ||
| SECTION 3. Section 802.107, Government Code, is amended by | ||
| adding Subsections (c), (d), and (e) to read as follows: | ||
| (c) A public retirement system shall post on a publicly | ||
| available Internet website: | ||
| (1) the name, business address, and business telephone | ||
| number of the administrator of the public retirement system; and | ||
| (2) a copy of the most recent edition of each report | ||
| and other information that is required by this chapter or Chapter | ||
| 801 to be submitted to the board. | ||
| (d) A public retirement system that maintains a website or | ||
| for which a website is maintained shall prominently post a link on | ||
| that website to the information required by Subsection (c). All | ||
| other public retirement systems shall: | ||
| (1) prominently post the information required by | ||
| Subsection (c) on a website that is maintained by the governing body | ||
| of the political subdivision of which members of the public | ||
| retirement system are officers or employees; or | ||
| (2) post the information required by Subsection (c) on | ||
| a publicly available website that is maintained by a state agency. | ||
| (e) A report or other information posted under Subsection | ||
| (c) must remain posted until replaced with a more recently | ||
| submitted edition of the report or information. | ||
| SECTION 4. Subchapter B, Chapter 802, Government Code, is | ||
| amended by adding Section 802.108 to read as follows: | ||
| Sec. 802.108. REPORT OF INVESTMENT RETURNS AND ASSUMPTIONS. | ||
| A public retirement system shall, before the 211th day after the | ||
| last day of the fiscal year under which the system operates, submit | ||
| to the board an investment returns and assumptions report that | ||
| includes: | ||
| (1) net investment returns for each of the most recent | ||
| 10 fiscal years; | ||
| (2) the rolling net rate of return for the most recent | ||
| 1-year, 3-year, 10-year, and 30-year periods; | ||
| (3) the net rate of return since inception of the | ||
| system; | ||
| (4) the current assumed rate of return; and | ||
| (5) the assumed rates of return for the most recent 10 | ||
| fiscal years. | ||
| SECTION 5. (a) In this section: | ||
| (1) "Governing body of a public retirement system" and | ||
| "public retirement system" have the meanings assigned by Section | ||
| 802.001, Government Code. | ||
| (2) "Pension review board" means the State Pension | ||
| Review Board established under Chapter 801, Government Code. | ||
| (b) The pension review board shall conduct a study of the | ||
| financial health of public retirement systems in this state, | ||
| including each system's ability to meet its long-term obligations | ||
| considering the contributions, benefits, and investments made | ||
| under the system. | ||
| (c) Each public retirement system, including the governing | ||
| bodies, officers, and employees of each retirement system, shall | ||
| fully cooperate with the pension review board in conducting the | ||
| study required under Subsection (b) of this section and timely | ||
| respond to any request for information made by the board for the | ||
| purpose of performing the study. | ||
| (d) Not later than September 1, 2014, the pension review | ||
| board shall submit to the legislature a written report containing | ||
| the findings of the study conducted under this section and the | ||
| board's recommendations, including the board's recommendations | ||
| regarding how each public retirement system may mitigate any risk | ||
| of not meeting the system's long-term obligations. | ||
| SECTION 6. (a) The State Pension Review Board shall develop | ||
| and publish the model ethical standards and conflict-of-interest | ||
| policies required by Section 801.210, Government Code, as added by | ||
| this Act, as soon as practicable after the effective date of this | ||
| Act, but not later than December 31, 2013. | ||
| (b) The State Pension Review Board shall adopt rules to | ||
| implement the educational training program required by Section | ||
| 801.211, Government Code, as added by this Act, as soon as | ||
| practicable after the effective date of this Act, but not later than | ||
| necessary to begin providing training classes on or before | ||
| September 1, 2014. | ||
| (c) For purposes of reporting the level of compliance with | ||
| the minimum training requirements of the educational training | ||
| program as required by Section 801.211(b), Government Code, as | ||
| added by this Act, the State Pension Review Board may only evaluate | ||
| compliance with the minimum training requirements by trustees and | ||
| administrators of public retirement systems on or after January 1, | ||
| 2015. | ||
| SECTION 7. 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, 2013. | ||
