Bill Text: TX SB1612 | 2011-2012 | 82nd Legislature | Engrossed
Bill Title: Relating to the monitoring, oversight, and funding of certain public retirement systems.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Engrossed - Dead) 2011-05-24 - Placed on General State Calendar [SB1612 Detail]
Download: Texas-2011-SB1612-Engrossed.html
By: Ogden | S.B. No. 1612 |
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relating to the monitoring, oversight, and funding of certain | ||
public retirement systems. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subsection (b), Section 801.201, Government | ||
Code, is amended to read as follows: | ||
(b) For the purpose of performing its duties under Section | ||
801.202(1) or (2), the board by rule may require clarification of | ||
information provided by a public retirement system in a report that | ||
is required by law and is required to be filed with the board. [ |
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SECTION 2. Section 801.203, Government Code, is amended by | ||
adding Subsections (c), (d), and (e) to read as follows: | ||
(c) The board shall prepare an annual report relating to the | ||
performance of each public retirement system that administers a | ||
defined benefit plan and has total assets the book value of which, | ||
as of the last day of the preceding fiscal year, is at least $100 | ||
million. The report required under this section must include: | ||
(1) each system's investment allocations and practices | ||
during the preceding fiscal year; | ||
(2) the rate of return on the investment of each | ||
system's cash and securities during the preceding fiscal year; | ||
(3) a description of the extent to which, during the | ||
preceding fiscal year, each system complied with: | ||
(A) the reporting requirements under this | ||
chapter and Chapter 802; and | ||
(B) the system's investment strategy; | ||
(4) rate of return sensitivity analysis for a | ||
projected ten-year period from the current fiscal year; and | ||
(5) solvency and cash flow projections for the current | ||
fiscal year. | ||
(d) The board shall: | ||
(1) prepare the report required under Subsection (c) | ||
in two parts, with the first part posted on the board's Internet | ||
website not later than March 1 of each year and the second part | ||
posted on the board's Internet website not later than September 1 of | ||
each year, and shall include the information required for a public | ||
retirement system in one of the two parts based on the date the | ||
system's fiscal year ends; | ||
(2) provide a review and comment period for the public | ||
retirement systems included in a report prior to posting the report | ||
on the board's Internet website; and | ||
(3) immediately notify the legislature and governor | ||
when the report, or part of the report, is available for viewing on | ||
the board's Internet website. | ||
(e) The board shall include in any report to the legislature | ||
or governor: | ||
(1) a description of any information that was not | ||
provided by a public retirement system pursuant to a requirement of | ||
this chapter or Chapter 802 or pursuant to a request by the board; | ||
(2) details regarding the circumstances of the | ||
requirement or request described in Subdivision (1), including the | ||
identification of the public retirement system, the requirement or | ||
request, and any response provided by the public retirement system; | ||
and | ||
(3) the effect of the lack of the information on the | ||
board's ability to meet the duties and reporting requirements in | ||
this chapter or Chapter 802. | ||
SECTION 3. Subchapter B, Chapter 802, Government Code, is | ||
amended by adding Section 802.1013 to read as follows: | ||
Sec. 802.1013. ACTUARIAL EXPERIENCE STUDIES. (a) In this | ||
section, "plan year" means the 12-month accounting period of the | ||
affected pension plan of a public retirement system subject to this | ||
section. | ||
(b) Subject to Subsection (c), the board may require a | ||
public retirement system with total assets the book value of which, | ||
as of the last day of the preceding plan year, is at least $100 | ||
million to conduct an actuarial experience study. A public | ||
retirement system shall provide to the board any actuarial | ||
experience study conducted by or for the public retirement system. | ||
(c) The board may not require a public retirement system to | ||
conduct more than one actuarial experience study every five years. | ||
(d) The board may adopt rules to implement this section. | ||
SECTION 4. Chapter 107, Local Government Code, is repealed. | ||
SECTION 5. The repeal of Chapter 107, Local Government | ||
Code, by this Act does not: | ||
(1) affect the validity of an obligation issued under | ||
that chapter before the effective date of this Act; or | ||
(2) diminish or impair the rights of a holder of an | ||
obligation of a municipality issued for the purpose authorized by | ||
that chapter before the effective date of this Act. | ||
SECTION 6. This Act takes effect September 1, 2011. |