83R23789 KFF-D
By: Anchia H.B. No. 3148
Substitute the following for H.B. No. 3148:
By: Callegari C.S.H.B. No. 3148
A BILL TO BE ENTITLED
AN ACT
relating to the abolition of the office of the fire fighters'
pension commissioner and the transfer and disposition of its
functions relating to the Texas Emergency Services Retirement
System and the Texas local firefighters retirement systems.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
ARTICLE 1. AMENDMENTS TO SUBTITLE H, TITLE 8, GOVERNMENT CODE
SECTION 1.01. Section 861.001, Government Code, is amended
by adding Subdivision (5-a) to read as follows:
(5-a) "Executive director" means the person appointed
executive director under Section 865.0095.
SECTION 1.02. Section 861.008, Government Code, is amended
to read as follows:
Sec. 861.008. IMMUNITY FROM LIABILITY. The state board,
executive director [commissioner], and employees of the pension
system are not liable for any action taken or omission made or
suffered by them in good faith in the performance of any duty or
prerogative in connection with the administration of the pension
system.
SECTION 1.03. Section 862.001(a), Government Code, is
amended to read as follows:
(a) The governing body of a department that performs
emergency services may, in the manner provided for taking official
action by the body, elect to participate in the pension system. A
governing body shall notify the executive director [commissioner]
as soon as practicable of an election made under this subsection.
Except as provided by Subsection (b), an election to participate
under this subsection is irrevocable.
SECTION 1.04. Section 862.0025(a), Government Code, is
amended to read as follows:
(a) Except as provided by Subsection (b), the governing body
of a participating department may make an election to include all
persons who provide support services for the department as members
of the pension system on the same terms as all other volunteers of
the department. An election under this section takes effect on the
first day of the calendar month that begins after the month in which
the election is made and communicated to the executive director
[commissioner]. Once made, an election under this section is
irrevocable.
SECTION 1.05. Sections 864.005(a), (d), and (f), Government
Code, are amended to read as follows:
(a) A local board shall require a member who is receiving
temporary disability benefits to file a disability rating report
every three months from a physician chosen by the local board. If a
report indicates a significant improvement in condition, the local
board, after notice and a hearing, may adopt an order to terminate
payments. The local board shall send a copy of each order adopted
under this subsection to the executive director [commissioner].
(d) If the local board has reason to believe that a ground
for termination of temporary disability benefits exists, the local
board may set a date for a hearing on the matter. The local board,
after notice and a hearing, may adopt an order terminating
temporary disability benefits if the local board determines that a
ground for termination exists. The local board may not adopt an
order under this subsection on the basis of a physician's
previously submitted statement as to the likely duration of the
disability if the local board determines, after a hearing, that the
disability continues. The local board shall send a copy of each
order adopted under this subsection to the executive director
[commissioner].
(f) If the state board [commissioner] has reason to believe
that a ground for termination of a continuing disability retirement
annuity exists, the state board [commissioner] shall set a date for
a hearing on continuation or termination of the annuity. The state
board [commissioner], after notice and a hearing, shall adopt an
order terminating the continuing disability retirement annuity if
the state board [commissioner] determines that a ground for
termination exists.
SECTION 1.06. Section 864.010(a), Government Code, is
amended to read as follows:
(a) The executive director [commissioner] shall continue to
administer benefits of the pension system for members and retirees
who perform service for a formerly participating department that
has withdrawn from participation in the pension system or has
ceased to exist.
SECTION 1.07. Sections 864.016(a), (b), (c), (e), (f), and
(g), Government Code, are amended to read as follows:
(a) A claim for disability retirement benefits or a lump-sum
death benefit must be filed with the local board. A claim for
service retirement benefits must be filed with the executive
director [commissioner], who shall forward the claim to the
appropriate local board for a hearing. A claim for a death benefit
annuity must be filed with the executive director. The executive
director [commissioner, who] shall make a determination of the
merits of the claim for a death benefit annuity and issue a decision
to the claimant. On receiving a claim under this section, the local
board shall hold a hearing to decide the claim. The local board
shall send a written copy of its decision to the claimant and the
executive director [commissioner]. If a local board does not
determine a claim for service retirement benefits and file its
determination with the executive director [commissioner] before
the 16th day after the date the local board receives the claim, the
executive director [commissioner] may determine the merits of the
claim.
(b) A person aggrieved by a decision of a local board
relating to eligibility for or the amount of benefits under this
subtitle may appeal the decision to the state board [commissioner].
(c) An appeal of a local board decision under this section
is begun by delivering a notice of appeal to the presiding officer
or secretary of the local board that made the decision. The notice
must be delivered not later than the 20th day after the date of the
decision and contain a brief description of the reasons for the
appeal. The aggrieved person must file a copy of the notice with
the state board [commissioner].
(e) After a hearing under Subsection (d), the state board
[commissioner] shall decide each appeal from a local board
decision, issue a written opinion, and notify the local board and
the claimant if the state board [commissioner] overrules the local
board's decision.
(f) [A person aggrieved by a decision of the commissioner
under this section may appeal the decision to the state board. The
state board shall decide each appeal based on the hearing record.
[(g)] A final decision of the state board under this section
is subject to judicial review under Chapter 2001. The standard of
review is by substantial evidence. Venue of the appeal is only in a
district court in Travis County [may not be appealed to a court or
be subject to any other legal process].
SECTION 1.08. Section 865.001, Government Code, is amended
by amending Subsection (b) and adding Subsection (c) to read as
follows:
(b) At least five [Six] trustees must be active members of
the pension system, one of whom must represent emergency medical
services personnel.
(c) One trustee may be a retiree of the pension system.
SECTION 1.09. Chapter 865, Government Code, is amended by
adding Section 865.0011 to read as follows:
Sec. 865.0011. SUNSET REVIEW. The state board of the
pension system is subject to review under Chapter 325 (Texas Sunset
Act) but is not abolished under that chapter. The state board shall
be reviewed during the period in which state agencies scheduled to
be abolished in 2025, and every 12th year after that year, are
reviewed.
SECTION 1.10. Section 865.002, Government Code, is amended
by adding Subsections (c), (d), and (e) to read as follows:
(c) A person may not be a trustee or an employee of the
pension system employed in a "bona fide executive, administrative,
or professional capacity," as that phrase is used for purposes of
establishing an exemption to the overtime provisions of the federal
Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.),
if:
(1) the person is an officer, employee, or paid
consultant of a Texas trade association in the field of emergency
services, including firefighting, or public retirement systems; or
(2) the person's spouse is an officer, manager, or paid
consultant of a Texas trade association in the field of emergency
services, including firefighting, or public retirement systems.
(d) In this section, a Texas trade association means a
cooperative and voluntarily joined statewide association of
business or professional competitors in this state designed to
assist its members and its industry or profession in dealing with
mutual business or professional problems and in promoting their
common interest.
(e) A person may not serve as a trustee or act as the general
counsel to the state board or the pension system if the person is
required to register as a lobbyist under Chapter 305 because of the
person's activities for compensation on behalf of a business or an
association related to the operation of the state board.
SECTION 1.11. Chapter 865, Government Code, is amended by
adding Section 865.0035 to read as follows:
Sec. 865.0035. STATE BOARD MEMBER TRAINING. (a) A person
who is appointed to and qualifies for office as a member of the
state board may not vote, deliberate, or be counted as a member in
attendance at a meeting of the state board until the person
completes a training program that complies with this section.
(b) A training program must provide the person with
information regarding:
(1) this subtitle;
(2) the programs, functions, rules, and budget of the
pension system;
(3) the results of the most recent formal audit of the
system;
(4) the requirements of laws relating to open
meetings, public information, administrative procedure, and
conflicts of interest; and
(5) any applicable ethics policies adopted by the
system or the Texas Ethics Commission.
(c) A person appointed to the state board is entitled to
reimbursement, as provided by the General Appropriations Act, for
the travel expenses incurred in attending the training program
regardless of whether the attendance at the program occurs before
or after the person qualifies for office.
SECTION 1.12. Section 865.005(c), Government Code, is
amended to read as follows:
(c) If the executive director [commissioner] has knowledge
that a potential ground for removal exists, the executive director
[commissioner] shall notify the presiding officer of the state
board of the ground. The presiding officer shall then notify the
governor that a potential ground for removal exists.
SECTION 1.13. Section 865.006, Government Code, is amended
by adding Subsection (c) to read as follows:
(c) The state board shall develop and implement policies
that:
(1) clearly separate the policy-making
responsibilities of the state board and the management
responsibilities of the executive director and the staff of the
pension system; and
(2) provide the public with a reasonable opportunity
to appear before the state board and to speak on any issue under the
jurisdiction of the state board.
SECTION 1.14. Chapter 865, Government Code, is amended by
adding Section 865.0061 to read as follows:
Sec. 865.0061. WRITTEN POLICY ON MANAGING AND ADMINISTERING
CONTRACTS. The state board shall adopt a written policy, including
procedures, to guide staff in managing and administering contracts
entered into by or on behalf of the pension system. The written
policy adopted under this section must, at a minimum:
(1) address how the pension system:
(A) plans for contracting needs and develops
solicitation documents;
(B) reviews, evaluates, and awards contract
proposals;
(C) manages and approves contract changes;
(D) identifies performance issues and resolves
contract disputes;
(E) monitors contract expenditures; and
(F) closes out contracts; and
(2) require the pension system to maintain a central
location for filing contracts and information related to contracts
entered into by or on behalf of the pension system.
SECTION 1.15. Section 865.007(c), Government Code, is
amended to read as follows:
(c) The state board or the executive director
[commissioner] may accept on behalf of the pension system gifts of
money or other property from any public or private source.
SECTION 1.16. Chapter 865, Government Code, is amended by
adding Section 865.0095 to read as follows:
Sec. 865.0095. EXECUTIVE DIRECTOR. (a) The state board, by
a majority vote of all members, shall appoint a person other than a
member of the board to serve at the board's will as executive
director.
(b) To be eligible to serve as the executive director, a
person must:
(1) be a citizen of the United States; and
(2) have executive ability and experience necessary to
conduct the duties of executive director.
SECTION 1.17. Sections 865.010, 865.011, and 865.013,
Government Code, are amended to read as follows:
Sec. 865.010. EXECUTIVE DIRECTOR'S [COMMISSIONER'S]
DUTIES. (a) The executive director [commissioner] shall oversee
the distribution of all benefits.
(b) The executive director [commissioner] shall collect the
revenues for the fund from the governing bodies of participating
departments.
(c) The executive director [commissioner] may request and
administer state funds appropriated by the legislature in addition
to those required by this subtitle.
(d) The state board [commissioner] is responsible for
recovering any fraudulently acquired benefits. If it appears that
fraud has occurred, the state board [commissioner] shall notify the
appropriate local board and the claimant and hold a hearing. If
after the hearing the state board [commissioner] determines that
benefits have been or are being fraudulently acquired, the state
board [commissioner] shall seek action in a court.
Sec. 865.011. RECORDS AND REPORTS. (a) The executive
director [commissioner] may at any reasonable time examine the
records and accounts of local boards.
(b) The executive director [commissioner] shall require in
a timely manner periodic reports from the local boards and shall
prepare necessary forms for use by local boards.
(c) The executive director [commissioner] shall prepare an
annual report on the activity and status of the fund and submit the
report to the governor, the lieutenant governor, and the speaker of
the house of representatives.
(d) The state board shall electronically submit a report to
the governor, the lieutenant governor, the speaker of the house of
representatives, the Legislative Budget Board, and the State
Pension Review Board if:
(1) as a result of an event or action, there is a
significant change to the actuarial valuation of the pension
system's assets or liabilities, including the extent to which the
system's liabilities are unfunded;
(2) there is any change to the contributions made to or
benefits paid from the system; or
(3) an actuarial valuation must be corrected or
repeated because of the use of erroneous information or assumptions
used in the valuation.
(e) A report submitted under Subsection (d)(1) must include
and consider the effect alternative contributions and benefit
structures would have on the actuarial valuation of the system,
including changes in the state's contribution under Section
865.015, as well as state funding of administrative expenses.
(f) The state board shall determine the meaning of
"significant change" for purposes of Subsection (d)(1), which must
include circumstances in which there is an increase in the time
required to amortize the unfunded liabilities of the pension system
to a period that exceeds 30 years, assuming a maximum state
contribution under Section 865.015.
(g) A report required under Subsection (d) may be combined
with any other report required by this chapter or other law.
Sec. 865.013. MONITORING OF CONTRIBUTION SUBMISSION. A
local board shall monitor the timely submission of required
contributions to the executive director [commissioner].
SECTION 1.18. Section 865.014(c), Government Code, is
amended to read as follows:
(c) Contributions required as provided by this section
shall be paid at the times and in the manner that the state board
prescribes by rule. Contributions required by this section shall
be submitted by electronic funds transfer unless the executive
director [commissioner] grants an exception based on the difficulty
of a participating department's use of that payment method.
Contributions that are not paid within the time required by the
state board accrue interest at the most recent assumed actuarial
rate of return on investments of the fund.
SECTION 1.19. Section 865.017(a), Government Code, is
amended to read as follows:
(a) The pension system shall withhold payment of a monthly
retirement annuity if a participating department attempts to
provide information to the executive director [commissioner]
relating to continued eligibility to receive the payments and the
recipient fails to cooperate or provide the requested information.
The state board may adopt rules to enforce this subsection.
SECTION 1.20. Section 865.018, Government Code, is amended
by amending Subsection (b) and adding Subsections (c), (d), and (e)
to read as follows:
(b) The executive director [commissioner] and the state
board shall certify the actuarial and financial soundness of the
fund every two years with the assistance of a qualified actuary.
(c) An actuarial valuation conducted under this section
must include:
(1) an analysis clearly shown in the valuation based
on each of the following assumptions:
(A) no state contribution to the fund, including
no state funding of administrative expenses; and
(B) a maximum state contribution to the fund,
including state funding of administrative expenses; and
(2) the number of years required to amortize the
unfunded actuarial liabilities of the pension system under each
assumption under Subdivision (1).
(d) At least once every five years, the state board, with
the assistance of the actuary, shall:
(1) audit the actuarial valuation required under this
section; and
(2) conduct an actuarial experience study, the
contents of which are determined by the state board in consultation
with the actuary.
(e) The actuarial valuation and experience study required
under Subsection (d) are not required to be conducted concurrently.
SECTION 1.21. Sections 865.019(a) and (c), Government Code,
are amended to read as follows:
(a) Information contained in records that are in the custody
of the pension system concerning an individual member, annuitant,
or beneficiary is confidential under Section 552.101 and may not be
disclosed in a form identifiable with a specific individual unless:
(1) the information is disclosed to:
(A) the individual or the individual's attorney,
guardian, executor, administrator, conservator, or other person
who the executive director [commissioner] determines is acting in
the interest of the individual or the individual's estate;
(B) a spouse or former spouse of the individual
after the executive director [commissioner] determines that the
information is relevant to the spouse's or former spouse's interest
in member accounts, benefits, or other amounts payable by the
pension system;
(C) a governmental official or employee after the
executive director [commissioner] determines that disclosure of
the information requested is reasonably necessary to the
performance of the duties of the official or employee; or
(D) a person authorized by the individual in
writing to receive the information; or
(2) the information is disclosed under a subpoena and
the executive director [commissioner] determines that the
individual will have a reasonable opportunity to contest the
subpoena.
(c) The executive director [commissioner] may designate
other employees of the pension system to make the necessary
determinations under Subsection (a).
SECTION 1.22. Sections 865.020(c) and (d), Government Code,
are amended to read as follows:
(c) The medical board shall:
(1) investigate essential statements and certificates
made by or on behalf of a member of the pension system in connection
with an application for disability retirement or, as requested by
the executive director [commissioner], with an application for an
on-duty death benefit; and
(2) report in writing to the executive director
[commissioner] its conclusions and recommendations on all matters
referred to it.
(d) The medical board is not subject to subpoena regarding
findings it makes in assisting the executive director
[commissioner] under this section, and its members may not be held
liable for any opinions, conclusions, or recommendations made under
this section.
SECTION 1.23. Chapter 865, Government Code, is amended by
adding Section 865.021 to read as follows:
Sec. 865.021. COMPLAINT FILES. (a) The pension system
shall maintain a system to promptly and efficiently act on
complaints filed with the system. The system shall maintain
information about:
(1) parties to the complaint;
(2) the subject matter of the complaint;
(3) a summary of the results of the review or
investigation of the complaint; and
(4) the disposition of the complaint.
(b) The pension system shall make information available
describing its procedures for complaint investigation and
resolution.
(c) The pension system shall periodically notify the
complaint parties of the status of the complaint until final
disposition.
ARTICLE 2. AMENDMENTS TO CIVIL STATUTES
SECTION 2.01. The Texas Local Fire Fighters Retirement Act
(Article 6243e, Vernon's Texas Civil Statutes) is amended by adding
Section 18B to read as follows:
Sec. 18B. TECHNICAL ASSISTANCE, TRAINING, AND INFORMATION
FOR BOARDS OF TRUSTEES. (a) The State Pension Review Board shall
provide technical assistance, training, and information to members
of the boards of trustees established under this Act. The training
required by this section must be designed to meet the specific needs
of members of boards of trustees administering benefit plans for
local fire fighters, including small-to-medium-sized benefit
plans.
(b) To the extent resources are available, the board shall
designate one person who specializes in providing the technical
assistance, training, and information required under Subsection
(a).
SECTION 2.02. Sections 22 and 22A, Texas Local Fire
Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes), are amended to read as follows:
Sec. 22. APPEALS FROM LOCAL BOARD DECISIONS. (a) A person
aggrieved by a decision of a board of trustees relating to
eligibility for or amount of benefits payable by a retirement
system may appeal the decision to the State Office of
Administrative Hearings [fire fighters' pension commissioner].
(b) An appeal under this section is begun by delivering a
notice of appeal with the chairman, secretary, or
secretary-treasurer of the board of trustees that made the
decision. The notice must be delivered not later than the 20th day
after the date of the decision and contain a brief description of
the reasons or grounds for appeal. The aggrieved person must file a
copy of the notice with the State Office of Administrative Hearings
[fire fighters' pension commissioner].
(b-1) As soon as practicable after receiving a notice of
appeal under Subsection (b) of this section, the board of trustees
shall refer the matter to the State Office of Administrative
Hearings by submitting notice of the appeal to that office.
(c) An appeal under this section [to the fire fighters'
pension commissioner] is held in Austin and is a contested case
under Chapter 2001, Government Code, [the Administrative Procedure
and Texas Register Act (Article 6252-13a, Vernon's Texas Civil
Statutes)] conducted as a de novo hearing by the State Office of
Administrative Hearings.
Sec. 22A. ATTORNEY. A board of trustees may employ an
attorney to represent the board in one or all legal matters,
including a hearing on appeal to the State Office of Administrative
Hearings [fire fighters' pension commissioner]. At the request of
a board of trustees, the city attorney of the municipality of which
the board is a part shall, without additional compensation,
represent the board in one or all legal matters.
SECTION 2.03. Section 27(d), Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes), is
amended to read as follows:
(d) A board of trustees established under this Act shall
adopt formal investment policies that emphasize safety and
diversity as well as liquidity for benefit payments. In developing
those policies, the board of trustees shall give special
consideration to the preferred investment practices of the
Government Financial Officers Association. [Not later than
December 31 of each year, the board of trustees shall submit to the
fire fighters' pension commissioner a copy of the investment
policies adopted by the board.]
SECTION 2.04. Section 28(h), Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes), is
amended to read as follows:
(h) A retirement system established under this Act is exempt
from Subchapter C, Chapter 802, Government Code, except Sections
802.202, 802.205, and 802.207.
SECTION 2.05. Sections 30(b) and (c), Texas Local Fire
Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes), are amended to read as follows:
(b) Contributions picked up as provided by this section
shall be treated as employer contributions in determining tax
treatment of the amounts under the Internal Revenue Code of 1986.
Each municipality or other political subdivision picking up
contributions shall continue, however, to compute federal income
tax withholding as if these contributions were employee wages until
the first payroll period that begins after the date the [fire
fighters' pension commissioner files with the secretary of state a
notice stating that the] United States Internal Revenue Service
determines [has determined] or a federal court rules [has ruled]
that under Section 414(h), Internal Revenue Code of 1986 (26 U.S.C.
Section 414(h)), the contributions are not includable in the gross
income of a member until they are distributed or made available.
Employee contributions picked up as provided by this section shall
be deposited to the credit of the individual account of each
affected member and shall be treated for all other purposes of this
Act as if the contributions had been deducted from the compensation
of members. Picked up contributions are not includable in a
computation of contribution rates of the municipality or other
political subdivision.
(c) A pick up of employee contributions takes effect in a
municipality or other political subdivision on January 1 of the
year following the year in which:
(1) the governing body of the municipality or other
political subdivision by ordinance has adopted the pick up;
(2) the pick up has been approved by majority vote of
the participating members of the retirement system at an election
by secret ballot at which at least 50 percent of the participating
members vote; and
(3) the [fire fighters' pension commissioner has filed
with the secretary of state a notice stating that the] United States
Internal Revenue Service issues [has issued] a determination that
the plan covering employees of the municipality or other political
subdivision is a qualified retirement plan under Section 401(a),
Internal Revenue Code of 1986 (26 U.S.C. Section 401(a)), and that
its related trust is tax exempt under Section 501(a) of that code
(26 U.S.C. Section 501(a)).
ARTICLE 3. CONFORMING CHANGES TO OTHER LAW
SECTION 3.01. (a) Sections 54.353 and 54.3531, Education
Code, which were added by Section 17, Chapter 359 (S.B. 32), Acts of
the 82nd Legislature, Regular Session, 2011, as a nonsubstantive
redesignation of the two versions of Section 54.208, Education
Code, as amended by Chapters 1285 (H.B. 2013) and 1299 (H.B. 2347),
Acts of the 81st Legislature, Regular Session, 2009, are reenacted
to conform to the reenactment of Section 54.208, Education Code,
and the addition of Section 54.2081, Education Code, by Chapter 959
(H.B. 1163), Acts of the 82nd Legislature, Regular Session, 2011,
and Section 54.353, Education Code, is amended to read as follows:
Sec. 54.353. FIREFIGHTERS ENROLLED IN FIRE SCIENCE COURSES.
(a) The governing board of an institution of higher education shall
exempt from the payment of tuition and laboratory fees any student
enrolled in one or more courses offered as part of a fire science
curriculum who:
(1) is employed as a firefighter by a political
subdivision of this state; or
(2) is currently, and has been for at least one year,
an active member of an organized volunteer fire department
participating in the Texas Emergency Services Retirement System or
a retirement system established under the Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes) and
[in this state, as defined by the fire fighters' pension
commissioner,] who holds:
(A) an Accredited Advanced level of
certification, or an equivalent successor certification, under the
State Firemen's and Fire Marshals' Association of Texas volunteer
certification program; or
(B) Phase V (Firefighter II) certification, or an
equivalent successor certification, under the Texas Commission on
Fire Protection's voluntary certification program under Section
419.071, Government Code.
(b) An exemption provided under this section does not apply
to deposits that may be required in the nature of security for the
return or proper care of property loaned for the use of students.
(c) Notwithstanding Subsection (a), a student who for a
semester or term at an institution of higher education receives an
exemption under this section may continue to receive the exemption
for a subsequent semester or term at any institution only if the
student makes satisfactory academic progress toward a degree or
certificate at that institution as determined by the institution
for purposes of financial aid.
(d) Notwithstanding Subsection (a), the exemption provided
under this section does not apply to any amount of additional
tuition the institution elects to charge a resident undergraduate
student under Section 54.014(a) or (f).
(e) Notwithstanding Subsection (a), the exemption provided
under this section does not apply to any amount of tuition the
institution charges a graduate student in excess of the amount of
tuition charged to similarly situated graduate students because the
student has a number of semester credit hours of doctoral work in
excess of the applicable number provided by Section 61.059(l)(1) or
(2).
(f) The Texas Higher Education Coordinating Board shall
adopt:
(1) rules governing the granting or denial of an
exemption under this section, including rules relating to the
determination of a student's eligibility for an exemption; and
(2) a uniform listing of degree programs covered by
the exemption under this section.
Sec. 54.3531. PEACE OFFICERS ENROLLED IN CERTAIN COURSES.
(a) The governing board of an institution of higher education shall
exempt from the payment of tuition and laboratory fees charged by
the institution for a criminal justice or law enforcement course or
courses an undergraduate student who:
(1) is employed as a peace officer by this state or by
a political subdivision of this state;
(2) is enrolled in a criminal justice or law
enforcement-related degree program at the institution;
(3) is making satisfactory academic progress toward
the student's degree as determined by the institution; and
(4) applies for the exemption at least one week before
the last date of the institution's regular registration period for
the applicable semester or other term.
(b) Notwithstanding Subsection (a), a student may not
receive an exemption under this section for any course if the
student has previously attempted a number of semester credit hours
for courses taken at any institution of higher education while
classified as a resident student for tuition purposes in excess of
the maximum number of those hours specified by Section 61.0595(a)
as eligible for funding under the formulas established under
Section 61.059.
(c) Notwithstanding Subsection (a), the governing board of
an institution of higher education may not provide exemptions under
this section to students enrolled in a specific class in a number
that exceeds 20 percent of the maximum student enrollment
designated by the institution for that class.
(d) An exemption provided under this section does not apply
to deposits that may be required in the nature of security for the
return or proper care of property loaned for the use of students.
(e) The Texas Higher Education Coordinating Board shall
adopt:
(1) rules governing the granting or denial of an
exemption under this section, including rules relating to the
determination of a student's eligibility for an exemption; and
(2) a uniform listing of degree programs covered by
the exemption under this section.
(f) If the legislature does not specifically appropriate
funds to an institution of higher education in an amount sufficient
to pay the institution's costs in complying with this section for a
semester, the governing board of the institution of higher
education shall report to the Senate Finance Committee and the
House Appropriations Committee the cost to the institution of
complying with this section for that semester.
(b) Sections 54.208 and 54.2081, Education Code, are
repealed.
SECTION 3.02. Section 572.003(b), Government Code, is
amended to read as follows:
(b) The term means:
(1) the Banking Commissioner of The Banking Department
of Texas;
(2) [the fire fighters' pension commissioner;
[(3)] the administrative director of the Office of
Court Administration of the Texas Judicial System;
(3) [(4)] the chief executive of the Office of Public
Utility Counsel;
(4) [(5)] the executive director of the State Bar of
Texas;
(5) [(6)] the director of the lottery division of the
Texas Lottery Commission;
(6) [(7)] the deputy in charge of the department of
security in the lottery division of the Texas Lottery Commission;
(7) [(8)] the director of the bingo division of the
Texas Lottery Commission; or
(8) [(9)] the secretary of state.
SECTION 3.03. Section 614.152(3), Government Code, is
amended to read as follows:
(3) "State fire agency" means the:
(A) Office [firefighters' pension commissioner;
[(B) Texas Department] of Rural Affairs
established in the Department of Agriculture;
(B) [(C)] service;
(C) [(D)] Texas Commission on Fire Protection;
(D) [(E)] Texas A&M Engineering Extension
Service [of The Texas A&M University System]; and
(E) [(F)] Texas State Fire Marshal's Office of
the Texas Department of Insurance.
SECTION 3.04. Section 2155.148, Government Code, is amended
to read as follows:
Sec. 2155.148. CERTAIN PURCHASES FOR TEXAS [STATEWIDE]
EMERGENCY SERVICES [PERSONNEL] RETIREMENT SYSTEM [FUND]. (a) The
Texas Emergency Services Retirement System [fire fighters' pension
commissioner] is delegated all purchasing functions relating to the
purchase of goods or services from funds other than general revenue
funds for a purpose the state board of trustees of the Texas
Emergency Services Retirement System [statewide emergency services
personnel retirement fund] determines relates to the fiduciary
duties of the retirement system [fund].
(b) The Texas Emergency Services Retirement System [fire
fighters' pension commissioner] shall acquire goods or services by
any procurement method approved by the state board of trustees of
the Texas Emergency Services Retirement System [statewide
emergency services personnel retirement fund] that provides the
best value to the retirement system [fund]. The retirement system
[fire fighters' pension commissioner] shall consider the best value
standards provided by Section 2155.074.
(c) The commission shall procure goods or services for the
Texas Emergency Services Retirement System [fire fighters' pension
commissioner] at the request of the retirement system [pension
commissioner], and the retirement system [pension commissioner]
may use the services of the commission in procuring goods or
services.
ARTICLE 4. REPEALER
SECTION 4.01. The following statutes are repealed:
(1) Section 802.103(c), Government Code;
(2) Section 861.001(3), Government Code;
(3) Section 18(g), Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes);
(4) Section 18A, Texas Local Fire Fighters Retirement
Act (Article 6243e, Vernon's Texas Civil Statutes);
(5) Section 21, Texas Local Fire Fighters Retirement
Act (Article 6243e, Vernon's Texas Civil Statutes);
(6) Section 21A, Texas Local Fire Fighters Retirement
Act (Article 6243e, Vernon's Texas Civil Statutes); and
(7) Section 31(c), Texas Local Fire Fighters
Retirement Act (Article 6243e, Vernon's Texas Civil Statutes).
ARTICLE 5. TRANSITION
SECTION 5.01. (a) Not later than September 1, 2013, the
state board of trustees of the Texas Emergency Services Retirement
System shall appoint an executive director under Section 865.0095,
Government Code, as added by this Act.
(b) Effective September 1, 2013:
(1) the office of the fire fighters' pension
commissioner is abolished and the term of the person holding that
position expires; and
(2) all powers, duties, obligations, and rights of
action of the fire fighters' pension commissioner under:
(A) Subtitle H, Title 8, Government Code, as
provided by Article 1 of this Act, are transferred to the:
(i) executive director of the Texas
Emergency Services Retirement System appointed under Section
865.0095, Government Code, as added by this Act; or
(ii) state board of trustees of the Texas
Emergency Services Retirement System established under Section
865.001, Government Code; and
(B) Section 2155.148, Government Code, are
transferred to the Texas Emergency Services Retirement System.
(c) In connection with the transfers required by Subsection
(b) of this section, the furniture, computers, other property and
equipment, files, and related materials used by the fire fighters'
pension commissioner are transferred to the executive director of
the Texas Emergency Services Retirement System.
(d) A rule adopted by or on behalf of the fire fighters'
pension commissioner in connection with or relating to Subtitle H,
Title 8, Government Code, in effect on September 1, 2013, continues
in effect until it is amended or repealed by the state board of
trustees of the Texas Emergency Services Retirement System.
(e) The unobligated and unexpended balance of any
appropriation made to the fire fighters' pension commissioner in
connection with or relating to Subtitle H, Title 8, Government
Code, for the state fiscal biennium ending August 31, 2013, is
transferred and reappropriated to the state board of trustees of
the Texas Emergency Services Retirement System for the purpose of
implementing the powers, duties, obligations, and rights of action
transferred to that system under Subsection (b) of this section.
(f) Notwithstanding the amendment by this Act of Section
572.003(b), Government Code, Section 572.003(d), Government Code,
does not apply to the abolition of the office of the fire fighters'
pension commissioner by this Act.
(g) Section 864.016(f), Government Code, as amended by this
Act, applies to a final decision of the state board of trustees of
the Texas Emergency Services Retirement System that is rendered on
or after the effective date of this Act. A decision of the state
board rendered before the effective date of this Act is governed by
the law in effect on the date the decision was rendered, and the
former law is continued in effect for that purpose.
SECTION 5.02. The change in law made by this Act to Section
865.002, Government Code, regarding prohibitions on members of the
state board of trustees of the Texas Emergency Services Retirement
System does not affect the entitlement of a member serving on the
board immediately before September 1, 2013, to continue to serve
and function as a member of the board for the remainder of the
member's term. The change in law made to that section applies only
to a member appointed on or after September 1, 2013.
SECTION 5.03. (a) Effective September 1, 2013, all powers,
duties, obligations, and rights of action of the fire fighters'
pension commissioner under the Texas Local Fire Fighters Retirement
Act (Article 6243e, Vernon's Texas Civil Statutes) are, except as
provided by Subsection (e) of this section, terminated as provided
by Article 2 of this Act.
(b) In connection with the requirements of Subsection (a) of
this section, property and records other than those described by
Section 5.01(c) of this article are transferred to the comptroller
in accordance with Section 325.017(e), Government Code.
(c) A rule adopted by the fire fighters' pension
commissioner in connection with or relating to the Texas Local Fire
Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes) expires on September 1, 2013.
(d) Effective September 1, 2013, the unobligated and
unexpended balance of any appropriations made to the fire fighters'
pension commissioner in connection with or relating to the Texas
Local Fire Fighters Retirement Act (Article 6243e, Vernon's Texas
Civil Statutes), for the state fiscal biennium ending August 31,
2013, is transferred to the general revenue fund in accordance with
Section 325.017(c), Government Code.
(e) Any administrative hearing on appeal to the fire
fighters' pension commissioner under Section 22, Texas Local Fire
Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes), is transferred without change in status to the State
Office of Administrative Hearings.
SECTION 5.04. The attorney general shall continue any
proceeding involving the office of the fire fighters' pension
commissioner that is pending on the effective date of this Act in
accordance with the law in effect on the date the proceeding was
commenced, and the former law is continued in effect for that
purpose.
SECTION 5.05. The changes in law made by this Act apply only
to a proceeding involving an appeal under Section 864.016,
Government Code, as amended by this Act, or Section 22, Texas Local
Fire Fighters Retirement Act (Article 6243e, Vernon's Texas Civil
Statutes), as amended by this Act, that is commenced on or after the
effective date of this Act. A proceeding involving an appeal
commenced before the effective date of this Act is governed by the
law as it existed immediately before the effective date of this Act,
and that law is continued in effect for that purpose.
SECTION 5.06. Sections 325.017 and 325.020, Government
Code, apply in relation to the abolition of the office of the fire
fighters' pension commissioner. In the event of a conflict between
those sections and a provision of this Act, this Act prevails.
SECTION 5.07. If the transfers required under Sections 5.01
and 5.03 of this article are not completed by September 1, 2013, the
governor shall appoint a person to complete the transfers.
SECTION 5.08. To the extent of any conflict, this Act
prevails over another Act of the 83rd Legislature, Regular Session,
2013, relating to nonsubstantive additions to and corrections in
enacted codes.
ARTICLE 6. EFFECTIVE DATE
SECTION 6.01. 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, 2013.