81R15566 T
By: Truitt H.B. No. 3608
A BILL TO BE ENTITLED
AN ACT
relating to deduction of qualified health insurance premiums of
eligible retired public safety officers from Teacher Retirement
System of Texas annuities.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. New Section 824.207, Government Code, is added
to read as follows:
Sec. 824.207. DEDUCTIONS FROM SERVICE OR DISABILITY
RETIREMENT ANNUITY. (a) An individual eligible to participate in
the uniform program under Section 1601.102 may authorize the
Teacher Retirement System of Texas (TRS) to deduct the amount of the
contribution and any other qualified health insurance premium from
the person's regular monthly service or disability retirement
annuity payment if the individual meets the following requirements:
(1) is eligible to receive a monthly annuity from TRS
in an amount in excess of the total authorized deduction amount, and
(2) is eligible under Section 845 of the Pension
Protection Act of 2006 (PL 109-280) or a similar law to elect to
exclude from annual gross income up to $3,000 of distributions from
an eligible retirement plan used for qualified health insurance
premiums.
(b) An individual may authorize the deduction described in
Subsection (a) on a form provided by the program administrator. The
program administrator shall coordinate with TRS to implement an
authorization provided under Subsection (a). After making the
deductions, TRS shall pay to the program administrator an aggregate
amount for all individuals who authorized annuity deductions under
Subsection (a). TRS shall inform the program administrator if an
individual is no longer receiving a monthly annuity in an amount in
excess of the total authorized deduction amount, and TRS shall not
be required to make the deduction in whole or in part for the
individual. TRS may discontinue the opportunity for such
deductions if payment of qualified health insurance premiums by
deduction from a retirement plan annuity is no longer required for
an eligible retiree to elect the gross income exclusion.
SECTION 2. This Act takes effect September 1, 2009.