Texas 2011 - 82nd Regular

Texas Senate Bill SB1536

Filed
 
Out of Senate Committee
4/26/11  
Out of House Committee
 
Voted on by House
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to retirement under public retirement systems for employees of certain municipalities.

Impact

The proposed changes significantly impact the definitions and criteria regarding membership, benefits, and contributions within the retirement system. One of the key alterations introduces two groups for members—Group A and Group B—each with different eligibility criteria and calculation methods for benefits. This effectively differentiates between newer and longer tenured employees regarding their retirement entitlements. Additionally, changes regarding the ability to convert sick leave into creditable service and the contribution rates by both employees and municipalities may not only affect individuals but also the overall financial structure of the retirement system, potentially influencing municipal budgeting and planning for future expenses related to pensions.

Summary

SB1536 aims to amend existing statutes related to the retirement systems for employees of certain municipalities in Texas. Specifically, the bill focuses on establishing a retirement system applicable to cities with populations between 760,000 and 860,000. It ensures that any rights or privileges accrued by members of this retirement system remain vested and are protected from changes in the municipality's population. This provision is designed to provide stability and certainty for employees regarding their retirement benefits, irrespective of population fluctuations.

Contention

During the discussions surrounding SB1536, there were notable points of contention regarding the implications of the proposed group structure and its potential inequities. Critics raised concerns that the bifurcation could lead to a disparity in retirement benefits for employees hired under different conditions. The stability of benefits for existing employees was a focal point of debate, with some members advocating for additional safeguards against potential reductions in annuities due to future legislative changes. Overall, the bill faces scrutiny over its ability to balance fiscal responsibility with the equitable treatment of municipal workers.

Companion Bills

TX HB3033

Identical Relating to retirement under public retirement systems for employees of certain municipalities.

Previously Filed As

TX HB4000

Relating to the public retirement systems for employees of certain municipalities.

TX SB1444

Relating to the public retirement systems for employees of certain municipalities.

TX HB3340

Relating to the public retirement systems of certain municipalities.

TX HB2649

Relating to the retirement system in certain municipalities for firefighters and police officers.

TX SB1207

Relating to the retirement system in certain municipalities for firefighters and police officers.

TX HB4034

Relating to certain disability and death benefits payable by the public retirement systems for police and fire fighters in certain municipalities.

TX HB3056

Relating to the cash balance benefit under the Employees Retirement System of Texas.

TX SB729

Relating to the cash balance benefit under the Employees Retirement System of Texas.

TX SB2416

Relating to certain disability and death benefits payable by the public retirement systems for police and fire fighters in certain municipalities.

TX HB4653

Relating to participation in a deferred retirement option plan by members of the retirement systems for police and fire fighters in certain municipalities.

Similar Bills

TX HB3033

Relating to retirement under public retirement systems for employees of certain municipalities.

TX SB1444

Relating to the public retirement systems for employees of certain municipalities.

TX HB4000

Relating to the public retirement systems for employees of certain municipalities.

TX HB4368

Relating to participation in, contributions to, and the benefits and administration of retirement systems for police officers in certain municipalities.

WV SB642

Establishing WV Public Safety Employees Retirement System

WV SB590

Emergency Medical Services Retirement System Act