Texas House Bill HB2341

Texas 2011 - 82nd Regular

Caption

Relating to a one-time supplemental annuity payment to retirees of the Teacher Retirement System of Texas.

Impact

If enacted, HB2341 will directly affect the financial well-being of retirees from the Teacher Retirement System by offering additional funds to those who meet the eligibility criteria. The supplemental payments will be financed from the retired reserve account, which ensures that funds are specifically allocated for this purpose. There is a provision allowing for the transfer of funds from the state contribution account if necessary, further indicating the bill's commitment to supporting the financial needs of retirees during the specified period.

Summary

House Bill 2341 is designed to provide a one-time supplemental annuity payment to retirees of the Teacher Retirement System of Texas. This legislation aims to support retirees by augmenting their monthly annuity payments through a one-time supplemental payment. The bill establishes that the retirement system can determine eligibility for the payment based on criteria, including years of service and the effective date of retirement or death. It mandates the board of trustees of the retirement system to decide the amount and timing of the supplemental payments, which must also comply with existing laws governing annuity payments.

Sentiment

The general sentiment around the bill appears to be positive, as it addresses the needs of a vulnerable population, namely retirees who may be struggling with fixed income. Supporters likely view this measure as a necessary recognition of the service provided by educators and as an important step towards financial support for retired teachers. However, the bill is time-bound and may raise questions regarding the long-term sustainability and effects on the state's retirement funds.

Contention

Notable points of contention could arise regarding the criteria established for eligibility and the sufficiency of funding in the retired reserve account. Opponents might argue that such payments, while beneficial in the short term, do not adequately address the ongoing financial challenges faced by retirees who depend on annuities. The temporary nature of the legislation may also lead to discussions about the broader implications for state pensions and the fiscal responsibilities of the state towards educators post-retirement.