LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION May 13, 2015 TO: Honorable Joan Huffman, Chair, Senate Committee on State Affairs FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3310 by Paul (Relating to the funding policies, actuarial valuations, and reporting requirements of certain public retirement systems.), As Engrossed No significant fiscal implication to the State is anticipated. The bill would amend the Government Code to require disclosure and reporting requirement changes for certain public retirement systems. The bill would require certain public retirement systems to notify and collaborate with the associated governmental entity to formulate and adopt a funding soundness restoration plan. The bill would require a public retirement system and the associated governmental entity to submit a copy of the plan and provide updates to the Pension Review Board. The bill provides requirements of a funding soundness restoration plan. The bill would require the Pension Review Board to post on its Internet website the most recent data from public retirement systems' funding soundness restoration plan.The Employees Retirement System, Teachers Retirement System, Texas Emergency Services Retirement System, and Pension Review Board indicate that any additional work resulting from the passage of the bill could be reasonably absorbed within current resources. Local Government Impact There would be administrative costs associated with conducting, formulating, and implementing a plan to obtain actuarial soundness for applicable public retirement systems. According to the Pension Review Board, the bill would have a positive actuarial effect on public retirement systems that adopt and adhere to a funding soundness restoration plan that is actuarially sound. Source Agencies:326 Texas Emergency Services Retirement System, 323 Teacher Retirement System, 327 Employees Retirement System, 338 Pension Review Board LBB Staff: UP, KFa, AG, SD, EK
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 84TH LEGISLATIVE REGULAR SESSION
May 13, 2015
TO: Honorable Joan Huffman, Chair, Senate Committee on State Affairs FROM: Ursula Parks, Director, Legislative Budget Board IN RE:HB3310 by Paul (Relating to the funding policies, actuarial valuations, and reporting requirements of certain public retirement systems.), As Engrossed
TO: Honorable Joan Huffman, Chair, Senate Committee on State Affairs
FROM: Ursula Parks, Director, Legislative Budget Board
IN RE: HB3310 by Paul (Relating to the funding policies, actuarial valuations, and reporting requirements of certain public retirement systems.), As Engrossed
Honorable Joan Huffman, Chair, Senate Committee on State Affairs
Honorable Joan Huffman, Chair, Senate Committee on State Affairs
Ursula Parks, Director, Legislative Budget Board
Ursula Parks, Director, Legislative Budget Board
HB3310 by Paul (Relating to the funding policies, actuarial valuations, and reporting requirements of certain public retirement systems.), As Engrossed
HB3310 by Paul (Relating to the funding policies, actuarial valuations, and reporting requirements of certain public retirement systems.), As Engrossed
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Government Code to require disclosure and reporting requirement changes for certain public retirement systems. The bill would require certain public retirement systems to notify and collaborate with the associated governmental entity to formulate and adopt a funding soundness restoration plan. The bill would require a public retirement system and the associated governmental entity to submit a copy of the plan and provide updates to the Pension Review Board. The bill provides requirements of a funding soundness restoration plan. The bill would require the Pension Review Board to post on its Internet website the most recent data from public retirement systems' funding soundness restoration plan.The Employees Retirement System, Teachers Retirement System, Texas Emergency Services Retirement System, and Pension Review Board indicate that any additional work resulting from the passage of the bill could be reasonably absorbed within current resources.
Local Government Impact
There would be administrative costs associated with conducting, formulating, and implementing a plan to obtain actuarial soundness for applicable public retirement systems. According to the Pension Review Board, the bill would have a positive actuarial effect on public retirement systems that adopt and adhere to a funding soundness restoration plan that is actuarially sound.
Source Agencies: 326 Texas Emergency Services Retirement System, 323 Teacher Retirement System, 327 Employees Retirement System, 338 Pension Review Board
326 Texas Emergency Services Retirement System, 323 Teacher Retirement System, 327 Employees Retirement System, 338 Pension Review Board
LBB Staff: UP, KFa, AG, SD, EK
UP, KFa, AG, SD, EK