82R7263 SGA-D
By: Sheets H.B. No. 1303
A BILL TO BE ENTITLED
AN ACT
relating to retirement benefits for state employees who return to
work with the state.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 812.201, Government Code, is amended by
amending Subsection (a) and adding Subsection (d) to read as
follows:
(a) Except as provided by Subsection (c) or (d), a retiree
may not rejoin the retirement system as a member of the class from
which the person retired.
(d) A person who is retired from the employee class of
membership and who again holds a position included in that class may
elect to become a member again by filing notice with the retirement
system. Except as provided by Section 812.2031(c), when benefit
payments are resumed, the retirement system shall recompute the
annuity selected at the time of the person's original retirement to
include the additional service established during membership under
this subsection.
SECTION 2. Section 812.202, Government Code, is amended to
read as follows:
Sec. 812.202. BENEFITS NOT AFFECTED. [(a)] The payment of
benefits to a retiree is not affected by:
(1) the retiree's taking a position included in a class
of membership other than a class from which the person retired; or
(2) the retiree's serving the state as an independent
contractor.
[(b) The payment of benefits to a retiree for service
credited in the employee class of membership is not affected by the
retiree's taking a position included in the employee class.]
SECTION 3. The heading to Section 812.203, Government Code,
is amended to read as follows:
Sec. 812.203. BENEFITS AFFECTED: ELECTED CLASS.
SECTION 4. Subchapter C, Chapter 812, Government Code, is
amended by adding Section 812.2031 to read as follows:
Sec. 812.2031. BENEFITS AFFECTED: EMPLOYEE CLASS. (a) If a
retiree resumes work in a position included in the employee class of
membership, the retirement system shall suspend annuity payments to
the person for service that was credited in that class, until the
person no longer holds that position.
(b) Time during which annuity payments are suspended as
provided by this section does not reduce the number of months
payments are to be made under an optional benefit selection
providing for a specific amount of benefits for a guaranteed number
of months after retirement.
(c) If a member who originally retired with service credited
at the time of that retirement only in the employee class of
membership again retires, the person at the time of subsequent
retirement may select an annuity based on service in the employee
class as if the person were retiring for the first time. If the
person selects an annuity under Section 814.108(c)(3) or (4), the
retirement system shall reduce the number of months of guaranteed
payment by the number of months for which an annuity was paid under
the person's original retirement.
SECTION 5. Section 812.206, Government Code, is amended to
read as follows:
Sec. 812.206. RETURN TO WORK CONTRIBUTIONS [SURCHARGE].
(a) This section applies only to a person who, on or after
September 1, 2009:
(1) retires from the employee class; and
(2) is rehired as a retiree into a position that would
otherwise require [include] membership in the employee class.
(b) A person who elects to become a member again under
Section 812.201(d) earns service credit and shall resume making
membership contributions as provided by Section 815.402 for each
month of reemployment. For each month that a department or agency
of this state employs that [a] person [described by Subsection
(a)], the department or agency shall remit to the retirement system
an amount equal to the amount of the state contribution that the
department or agency would remit for any other [an] active member
employed in the person's position. The amount remitted shall be
deposited as provided by Section 815.309.
(c) A person who does not elect to become a member again
under Section 812.201(d) does not earn service credit and is not
required to make membership contributions under Section 815.402.
Neither the state nor the department or agency employing the person
is required to remit the amount to the retirement system that would
be required of the employing department or agency under Subsection
(b).
SECTION 6. The change in law made by this Act applies only
to the service retirement benefits payable to a person who is a
retiree of the employee class of membership in the Employees
Retirement System of Texas who resumes employment in the employee
class on or after the effective date of this Act. The service
retirement benefits payable to a retiree who resumes employment in
the employee class before the effective date of this Act are
governed by the law in effect on the date of the resumption of
employment, and that law is continued in effect for that purpose.
SECTION 7. This Act takes effect September 1, 2011.