LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION March 29, 2015 TO: Honorable Dan Flynn, Chair, House Committee on Pensions FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2168 by Muñoz, Jr. (Relating to the payment date for annuities from the Teacher Retirement System of Texas.), As Introduced No significant fiscal implication to the State is anticipated. The bill would change the payment date of annuities by the Teacher Retirement System of Texas (TRS) from the first working day of the month to the last working day of the preceding month if the first day of a month falls on a Sunday or a national holiday, effective on September 1, 2015. TRS indicates the provisions of the bill could result in retirees receiving two payments in one month, and in some years retirees may receive 13 payments while in other years retirees receive 11 payments. While there would be no actuarial impact, this may complicate tax reporting for TRS and retirees, as well as generate additional calls to the TRS phone center. However, TRS indicates that additional administrative cost could be absorbed within existing resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:304 Comptroller of Public Accounts, 323 Teacher Retirement System LBB Staff: UP, AG, AM, PFe
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
March 29, 2015
TO: Honorable Dan Flynn, Chair, House Committee on Pensions FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB2168 by Muñoz, Jr. (Relating to the payment date for annuities from the Teacher Retirement System of Texas.), As Introduced
TO: Honorable Dan Flynn, Chair, House Committee on Pensions
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB2168 by Muñoz, Jr. (Relating to the payment date for annuities from the Teacher Retirement System of Texas.), As Introduced
Honorable Dan Flynn, Chair, House Committee on Pensions
Honorable Dan Flynn, Chair, House Committee on Pensions
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB2168 by Muñoz, Jr. (Relating to the payment date for annuities from the Teacher Retirement System of Texas.), As Introduced
HB2168 by Muñoz, Jr. (Relating to the payment date for annuities from the Teacher Retirement System of Texas.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would change the payment date of annuities by the Teacher Retirement System of Texas (TRS) from the first working day of the month to the last working day of the preceding month if the first day of a month falls on a Sunday or a national holiday, effective on September 1, 2015. TRS indicates the provisions of the bill could result in retirees receiving two payments in one month, and in some years retirees may receive 13 payments while in other years retirees receive 11 payments. While there would be no actuarial impact, this may complicate tax reporting for TRS and retirees, as well as generate additional calls to the TRS phone center. However, TRS indicates that additional administrative cost could be absorbed within existing resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 304 Comptroller of Public Accounts, 323 Teacher Retirement System
304 Comptroller of Public Accounts, 323 Teacher Retirement System
LBB Staff: UP, AG, AM, PFe
UP, AG, AM, PFe