81R15600 SGA-D
By: Truitt H.B. No. 3608
Substitute the following for H.B. No. 3608:
By: Truitt C.S.H.B. No. 3608
A BILL TO BE ENTITLED
AN ACT
relating to the deduction of qualified health insurance premiums
from annuities payable by the Teacher Retirement System of Texas to
certain retired public safety officers.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter A, Chapter 824, Government Code, is
amended by adding Section 824.007 to read as follows:
Sec. 824.007. DEDUCTIONS FROM SERVICE OR DISABILITY
RETIREMENT ANNUITY. (a) In this section, "program administrator"
means the person who administers the uniform program under Section
1601.102, Insurance Code.
(b) An individual eligible to participate in the uniform
program under Section 1601.102, Insurance Code, may authorize the
retirement system to deduct the amount of the contribution and any
other qualified health insurance premium from the individual's
regular monthly service or disability retirement annuity payment if
the individual is:
(1) eligible to receive a monthly annuity from the
retirement system greater than the amount of the authorized
deduction; and
(2) eligible under Section 402(l), Internal Revenue
Code of 1986, 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.
(c) An individual may authorize the deduction described by
Subsection (b) on a form provided by the program administrator. The
program administrator shall coordinate the implementation of an
authorization under Subsection (b) with the retirement system.
(d) After making the deductions, the retirement system
shall pay to the program administrator an aggregate amount for all
individuals who authorize annuity deductions under Subsection (b).
(e) If an individual no longer receives a monthly annuity
greater than the amount of the authorized deduction, the retirement
system:
(1) shall inform the program administrator; and
(2) is not required to make any deduction under this
section for the individual.
(f) The retirement system is not required to accept an
authorization for a deduction under this section if payment of
qualified health insurance premiums by deduction from a retirement
plan annuity is not required for an eligible retiree to elect the
gross income exclusion described by Subsection (b)(2).
SECTION 2. This Act takes effect September 1, 2009.