Relating to a cost-of-living adjustment applicable to certain benefits paid by the Teacher Retirement System of Texas.
If enacted, HB223 would provide a significant financial relief for eligible retirees and their beneficiaries under the TRS, potentially impacting their standard of living positively in terms of adjusted income. The bill stipulates that this adjustment is capped at either six percent of the monthly benefit or $100, whichever is lesser, thereby targeting assistance towards those most in need among the beneficiaries of the retirement system. The implementation of this adjustment is expected to take effect starting January 2022, pending the necessary legislative approval.
House Bill 223 aims to amend the Government Code to introduce a one-time cost-of-living adjustment for certain benefits paid by the Teacher Retirement System of Texas. This adjustment is designed to benefit annuitants who are receiving monthly death or retirement benefits, providing them an increase in their monthly payments. The bill outlines specific eligibility criteria that must be met for annuitants to receive this adjustment, primarily focusing on the status and date of retirement of the individual members of the retirement system.
There are several stipulations regarding who is eligible for this adjustment. For instance, annuitants must be living on the effective date of the adjustment and have retired on or before August 31, 2019, which limits the scope of beneficiaries. Additionally, some categories of annuity payments are explicitly excluded from this cost-of-living increase. This could lead to debates around the fairness and inclusivity of the bill, particularly concerning those retirees who do not meet these criteria, creating a contrast in the benefits extended to different groups within the retiree community.