82R9847 KFF-D By: Lucio III H.B. No. 2683 A BILL TO BE ENTITLED AN ACT relating to the adoption or implementation of certain optional provisions by municipalities participating in the Texas Municipal Retirement System. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Subchapter A, Chapter 852, Government Code, is amended by adding Section 852.0021 to read as follows: Sec. 852.0021. ADOPTION AND IMPLEMENTATION OF CERTAIN OPTIONAL PROVISIONS. (a) In this section, "covered employee" means an employee or retiree of a participating municipality who is covered or who, at the time of retirement, was covered by: (1) a meet and confer agreement adopted under Subchapter B, Chapter 142, Local Government Code; or (2) a collective bargaining agreement adopted under Chapter 174, Local Government Code. (b) Before the governing body of a participating municipality by ordinance or other means adopts or implements an optional provision permitted under this subtitle, including an optional increase in retirement annuities under Section 854.203 or an optional increase in the rate of member contributions under Section 855.401(b), that applies to covered employees, the municipality may negotiate and reach an agreement with the appropriate associations representing the covered employees regarding whether or how the proposed provision will apply to the covered employees. Notwithstanding any other law, changes negotiated under this section with respect to the adoption or implementation of an optional provision under this subtitle may only apply to covered employees. SECTION 2. The change in law made by this Act applies only to an optional provision permitted under Subtitle G, Title 8, Government Code, that is adopted or implemented by a municipality participating in the Texas Municipal Retirement System on or after the effective date of this Act. An optional provision adopted or implemented before the effective date of this Act is governed by the law as it existed immediately before that date, and the former law is continued in effect for that purpose. SECTION 3. This Act takes effect immediately if it receives a vote of two-thirds of all the members elected to each house, as provided by Section 39, Article III, Texas Constitution. If this Act does not receive the vote necessary for immediate effect, this Act takes effect September 1, 2011.